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Article by Carsten Klude
The new elections called by French President Emanuel Macron will enter the first round on Sunday. Marine Le Pen's far-right Rassemblement National (RN) will probably receive the most votes by far. However, the second round of voting will be decisive. Fears that the RN's expensive election promises could further increase the national deficit have led to price losses, particularly for French shares and government bonds. Some fear that this could lead to a new European debt crisis.
In this issue of "Economic Situation & Strategy", we look at the outlook for Europe.