Macron Win Positive for European Risk Assets
May 8, 2017
We expect that Macron’s future actions will be in the tradition of supply-side reforms, coupled with socially-responsible stabilizers. As fears of political unrest have eased in the short-term, we believe reflation trades will take center stage again, with a renewed focus on economic fundamentals. As political risk has eased, the potential for tapering talks has intensified and could impact the currently very low level of European interest rates.