
As France faces a common election within the third quarter, a possible political impasse might escalate market uncertainty and make it troublesome to move laws. This state of affairs might result in a spike in bond yields, as has already been noticed within the Franco-German unfold. As well as, there are considerations that the unfold of the epidemic will have an effect on neighboring nations, which can have an hostile influence on the bond market. Nonetheless, if inflation developments unexpectedly enhance as seen within the US and EU, the euro might regain floor by the top of the third quarter, impacting the EUR/USD alternate fee.