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MNI US MARKETS ANALYSIS - French Politics Undermines EUR
MNI US OPEN - Trump Warns BRICS Over Moving Away From USD
Opposition In Final Roll Of The Dice To Stop Pension Reforms
The French National Assembly is currently debating a bill put forward by the centrist opposition LIOT group that seeks to repeal the pension reforms passed by President Emmanuel Macron's gov't in the spring. The legislation is seen as a last-gasp effort to halt the increase in the pension age from 62 to 64.
- Broad expectations are that the bill will not pass, with only LIOT, the far-left NUPES alliance, and the far-right Rassembelement National of Marine Le Pen offering backing. While Macron's centrist Renaissance Party and its allies do not hold a majority, on the pension reform issue it has been able to rely on the backing of a sizable section of the conservative Les Republicains group.
- Even getting the legislation to the Assembly floor for a vote could prove difficult. Speaker Yael Braun-Pivet from Macron's party, declared the legislation unconstitutional as there is no provision in the state budget to fund the decrease in the pension age following Macron signing the reform into law. According to AP, "Opposition lawmakers may seek other options during Thursday's expected heated debate."
- There are already signs that the fight has somewhat gone out of the anti-pension reform movement. While strikes and protests took place on 6 June in what was billed as the 14th day of major action across France, the crowds were much smaller than on previous occasions.
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Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.