Macron Wins Comfortably ; Euro Bulls Can Expect a Boost

The results of the run off in the French Presidential elections are finally in and they indicate a clear majority for Macron over Le Pen. Macron has won 65.5% of the votes that were polled while Le Pen could manage only 34.5%. This should serve as a disappointment to the supporters of Le Pen who had hoped to cause some disruption in the French politics like what the supporters of Trump had managed to do in the US elections over last year.

Euro Expected to Open Stronger

Once the first round of elections in France was done and dusted about 2 weeks ago, it became pretty clear that Macron would be able to win the run off pretty easily. It was a battle between the euro and business friendly Macron against the hardliner Le Pen who had also promised to relook at the French participation in the eurozone once she was voted to power. The opinion polls leading up to the election had pointed to a victory for Macron and the same has been seen in the results as well.

It is a decisive victory for Macron which is a boost to his promises and his proposed policies and it will also be a good boost for the euro as well. The euro had been rising over the last week in anticipation of the victory for Macron and this confirmation of the same should help the EURUSD pair to cross over above 1.1000 in the short term, pretty easily. Though many challenges lie ahead domestically for Macron, the French people have a lot of hope that he can bring in an upswing in the French economy. The supporters of the euro can also heave a collective sigh of relief that any immediate danger to the eurozone is well past now.

They would also be relieved to know that they do not need to face the same situation as with Brexit as any possibility of France leaving the Eurozone could probably have dealt a death blow to the euro as such. Now, they are past that and the ECB and the Eurozone leaders would now begin to focus on the upcoming negotiations with the UK. This would also serve as a good reminder for the other countries in the Eurozone on how it is useful and important for them to remain a part of the bloc.