France was thrust into political uncertainty after Prime Minister Sebastien Lecornu resigned less than four weeks into his tenure — and only hours after naming his cabinet. With President Emmanuel Macron seen as unlikely to step down or appoint a replacement, analysts expect new parliamentary elections to be called before year-end.
The euro and French equities tumbled on the news, adding to market jitters across Europe. In Spain, Banco Bilbao Vizcaya Argentaria SA filed a complaint accusing Banco Sabadell SA of obstructing its €17 billion takeover bid. In the U.S., Fifth Third Bancorp agreed to acquire Comerica Inc. in an all-stock deal valued at $10.9 billion, signaling continued consolidation among regional lenders.
Gold, silver and cryptocurrencies extended their rallies on what traders are calling the “debasement trade,” driven by concerns over surging government debt levels worldwide. Gold hovered near $4,000 an ounce, rising 3.4% last week — its seventh consecutive weekly gain.
In Asia, the Hang Seng Tech Index fell 1.1% on profit-taking, while Japan’s Nikkei 225 surged 4.7% as the yen weakened by 2%.
Despite ongoing government shutdown tensions in Washington, U.S. stock futures pointed to a positive open, reflecting continued investor confidence in the broader economy.
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