Les élections françaises pourraient considérablement baisser les taux d’intérêt dans les États
That’s for both of you. The person that doesn’t speak French that has no idea what is written or you do understand and are wondering how. What I said (translated) is: French election could dramatically lower interest rates in the States.
Ok, now for the how.
This weekend, is the semifinals. Two candidates emerged for the final vote that is in a couple of weeks.
Eleven candidates have joined the race for the French presidency, and the campaign is now in its final days ahead of the…www.bbc.com
One of the candidates who should get to May is Madame LePan. She is French Trump so that will explain her politics.
The other candidate, and the current leader in the polls, is Emmanuel Macron. He was a former economic minister for the Hollande administration. He resigned to in order to form his own centrist party. 44, aka President Obama did a wink endorsement for him the other day and helped him to get into the finals.
In hockey terms, this is like Steve Avery versus Jeremy Iginla. For those not in the hockey world, Avery was a goon and totally annoying. Iginla, just a nice guy that scores a lot!
Back to interest rates. If LePan does somehow win a la Trump, she will Francexit, get out of the EU and return the franc as the currency.
Just the fact that England, Spain and Portugal will now hove to have cars, busses, trucks etc. go through French customs, possible tariffs, etc., the economy of Europe could be put into a bit of a tailspin.
Rates could go down if this happens because in times of trouble, investors flock to US securities to park their money. And US mortgage-backed securities are a good place. Your capital is safe and you get a decent return.
And if Macron can win? Hopefully, after the German elections, this may signal that “normal” is now winning. Rates would stay the same. Boring. Good boring.