France
France sees slight Q4 growth as firms delay investment amid political uncertainty. Consumption holds, but business spending stalls, keeping equities cautious and sovereign spreads wider as the recovery relies on restoring policy clarity and confidence.
France
France engages in EU budget negotiations with GDP growth ~1.1% y/y. Investors and sovereign debt holders track fiscal outcomes affecting public investment and market confidence.
France
France’s political uncertainty reduces GDP to 0.6%, affecting consumer confidence and corporate investment, pressuring equities (FP:RNO, FP:MC) and widening sovereign spreads versus Bunds (SX5P).
Europe
Eurozone PMI at 52.2 signals the strongest upturn since 2024; easing inflation and steady ECB policy underpin cautious recovery momentum. (EURUSD, SXXP)
Egypt
Egypt and France renew a €4B cooperation pact through 2030, expanding AFD-backed projects in transport and energy. Egypt’s Eurobond (EGYP2032 ≈ 9.9%) tightens 20 bps as markets view the deal as a sign of fiscal stability amid global rate pressure.
Policy & Economy
Sarkozy’s guilty verdict is historic, but OATs remain stable. France accounts for 15% of euro area GDP, with €2.9T public debt and euro reserves near 20% globally—proof markets care more about fundamentals than old scandals.
Regions
Fitch’s cut of France to A+ highlights debt and politics, but markets disagree. OATs (IBGL.L) yield just 3.5%, spreads over bunds stay modest, and CDS signals calm. With €7.3T in household wealth and ECB support, France looks resilient. The bigger risk is benchmark-driven portfolio distortions.