Heard on the Street Monday Recap: Herding Cats
Investors don't mind a bit of political gridlock. In France, news that Marine Le Pen's far-right party won a third of the votes sent the benchmark equity index—the CAC 40—up 1.1% and knocked some of the "fear premium" out of French government bonds. The market reaction wasn't so much a vote of confidence in Le Pen but a bet that no party will be in the majority and able to make sweeping changes, says Heard's Jon Sindreu.