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Markets react positively to Macron victory

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By Euronews
Markets react positively to Macron victory

<p>There has been a collective sigh of relief on the markets following Emmanuel Macron’s victory in the French presidential election.</p> <p>The euro hit a six-month high against the dollar on Monday and Asian shares gained.</p> <p>The single European currency rose to as high as $1.1024, its highest in about six months, before stepping back to $1.0984, 0.1 percent below late US levels last week.</p> <p>The euro later slipped back, reflecting uncertainty over whether Macron will be able to secure a majority in next month’s parliamentary elections, enabling him to implement his economic programme.</p> <p>He plans to blend a big reduction in public spending and a relaxation of labour laws with greater investment in training and a gradual reform of the unwieldy pension system.</p> <p>Japan’s Nikkei gained 2.3 percent to hit a near 1 1/2-year high. </p> <p>“Political risk in Europe has been considered as a major market theme this year. But in the Netherlands (anti-EU party leader Geert) Wilders lost in March. The French election is now out of the way,” said Norihiro Fujito, senior investment strategist at Mitsubishi <span class="caps">UFJ</span> Morgan Stanley Securities.</p> <p>“And in Germany the ruling Christian Democrats are recovering. The political risks in Europe have receded,” he said.</p> <br /> <p><blockquote class="twitter-tweet" data-lang="fr"><p lang="en" dir="ltr">What a Macron win means for business and the market <a href="https://t.co/TODslpJ8gz">https://t.co/TODslpJ8gz</a></p>— TIME (@TIME) <a href="https://twitter.com/TIME/status/861468227112763392">8 mai 2017</a></blockquote> <script async src="//platform.twitter.com/widgets.js" charset="utf-8"></script></p> <br /> <p><em>with Reuters</em></p>