Le azioni francesi scivolano mentre il governo di Parigi deve affrontare il rischio di collasso
https://www.cnbc.com/2025/08/26/european-markets-open-to-close-fed-trump-french-politics.html
di krazydude22
Le azioni francesi scivolano mentre il governo di Parigi deve affrontare il rischio di collasso
https://www.cnbc.com/2025/08/26/european-markets-open-to-close-fed-trump-french-politics.html
di krazydude22
10 commenti
European stock markets opened sharply lower on Tuesday, pulled down by French equities as traders monitored the potential for a no confidence vote in the government next month.
France’s CAC 40 index plummeted more than 2% in early deals after the country’s three main opposition parties [said they would not back a confidence vote](https://www.reuters.com/world/french-government-risks-collapse-with-budget-confidence-vote-september-2025-08-25/) called by Prime Minister Francois Bayrou for Sept. 8 over his budget plans.
Bayrou argues around 44 billion euros ($51 billion) in budget cuts are needed to reduce the French deficit, which totaled 5.8% of GDP in 2024, with his proposals including freezing welfare and pension spending, as well as tax brackets, at 2025 levels.
Erik Nelson, head of G10 FX strategy at Wells Fargo, called the outlook for French assets “not great” — but said the outcome for Bayrou’s government was not a foregone conclusion.
“I think part of the issue here is that European equities, the euro itself, have been a very popular momentum trade throughout the year. What we’re seeing in the last couple of days has been a little bit of unwind.”
“I don’t know that Bayrou is definitely out. There’s still some uncertainty there. He’s got a lot of things he can offer the opposition,” Nelson continued, including that the French minister could back away from a contentious proposal to cut two public holidays.
“They’re walking a very fine line here, and as I mentioned earlier, given where market positioning in European assets, there’s a lot of risks.”
European stock futures were already pointing lower as global investors monitored U.S. President Donald Trump’s latest attempted intervention in the running of the Federal Reserve.
French government faces risk of collapse?
To put things into perspective, France spends about 666 billion euros on [healthcare](https://pharmaboardroom.com/articles/frances-healthcare-budget-passes-but-system-remains-in-critical-condition/) or about 23% of GDP and a further 410 billion euros or about [14% of GDP](https://www.reuters.com/world/europe/french-lawmakers-weigh-political-risk-curbing-boomers-costly-pensions-2024-10-09/) on pension. The military budget by comparison is about [60 billion euros](https://breakingdefense.com/2025/07/france-to-raise-military-spending-to-75b-in-2027-three-years-earlier-than-planned/) or 2% of GDP.
Time for Trappier to take over.
He is already the unofficial foreign, economy and defence minister of France.
France will survive
As a son from an (ex) French colony, this is fucking delicious to read. Get to work, bozos. Lot harder to keep the gravy train on without the benefit of an entire exploited continent(s), innit?
France basically runs on these kinds of high drama disputes. They’re a national sport. It’ll be fine!
It’s been the same damn headline since 1789
TBH germany was excited about it’s new super stable super able government.
And so far they only found austerity for everything, a way to hamfistedly get fresh money to prevent the collapse of our pension system before 2029 and within the year 100.000 well paying industry jobs have been silently cut by offering the people who had them a severance package and earlier retirement.
**European stock markets retreated on Tuesday morning, pulled down by French equities as traders monitored the potential for a no confidence vote in the government next month.**
France’s CAC 40 index plummeted more than 2% in early deals before paring losses to around 1.75%. The country’s three main opposition parties [said they would not back a surprise confidence vote](https://www.reuters.com/world/french-government-risks-collapse-with-budget-confidence-vote-september-2025-08-25/) called by Prime Minister Francois Bayrou on Monday for Sept. 8 over his budget plans.
Bayrou argues around 44 billion euros ($51 billion) in budget cuts are needed to reduce the French deficit, which totaled 5.8% of GDP in 2024, with his proposals including freezing welfare and pension spending, as well as tax brackets, at 2025 levels.
Erik Nelson, head of G10 FX strategy at Wells Fargo, called the outlook for French assets “not great” — but said the outcome for Bayrou’s government was not a foregone conclusion.
“I think part of the issue here is that European equities, the euro itself, have been a very popular momentum trade throughout the year. What we’re seeing in the last couple of days has been a little bit of unwind.”
“I don’t know that Bayrou is definitely out. There’s still some uncertainty there. He’s got a lot of things he can offer the opposition,” Nelson continued, including that the French minister could back away from a contentious proposal to cut two public holidays.
“They’re walking a very fine line here, and … given where market positioning is in European assets, there’s a lot of risks.”
# Fed drama
Broader European markets were also lower as global investors monitored U.S. President Donald Trump’s latest attempted intervention in the running of the Federal Reserve.
The U.K.’s FTSE 100 and Germany’s DAX were both down by around 0.5%.
Trump’s announcement on social media that he had fired [Federal Reserve](https://www.cnbc.com/federal-reserve/) Board Governor [Lisa Cook](https://www.cnbc.com/2025/08/21/trump-powell-cook-fed-mortgage-fraud.html) drove [Asia-Pacific markets](https://www.cnbc.com/2025/08/26/asia-stock-markets-today-live-updates-nikkei-225-asx-200-kospi-hang-seng-csi-300-sensex-nifty-50.html) and [U.S. futures](https://www.cnbc.com/2025/08/25/stock-market-today-live-updates.html) lower. Cook said in a Monday statement that Trump did not have the authority to remove her and that she “will not resign,” leaving a legal dispute a potential next step.
It follows months of pressure by Trump on the central bank to lower interest rates, including [repeated criticism of and threats to fire Fed Chair Jerome Powell](https://www.cnbc.com/2025/07/24/trump-powell-fed-visit.html).