FRANCE: Centre-Left Meets On Potential Unity Candidate For 2027

Jul-02 15:53

Senior figures from the centre-left of French politics are meeting to "discuss the conditions for a joint candidacy" ahead of the 2027 presidential election. In the last two presidential elections in 2017 and 2022, candidates from the centre-left/environmentalist left have come behind far-left La France Insoumise (LFI) leader Jean-Luc Melenchon. This has raised the prospect of parties of the moderate left uniting to try to boost their prospects.  

  • The meeting includes: Socialist Party (PS) leader Olivier Faure, president of the PS in the National Assembly Boris Vallud, Ecologist Greens leader Marine Tondelier, Francois Ruffin and Clementine Autain (lawmakers who both left LFI after falling out with Melenchon), prime ministerial candidate for the left-wing New Popular Front alliance Lucie Castets, and former PS presidential candidate Segolene Royal.
  • Opinion polling indicates that whoever is the presidential candidate for the far-right Rassemblement National (National Rally, RN) will make the second round run-off, with the question then being who is their challenger. The centrist Ensemble bloc does not have a clear successor with incumbent President Emmanuel Macron term-limited.
  • There is a chance of a four-way contest (centre-left vs. populist far-left vs. centrists vs. conservatives) to get into the run-off in 2027. As such, a unity candidate joining the PS, Ecologists and other anti-Melenchon leftists could have a strong chance of making the second round.
  • Given that the 'Republican front' (voters backing any candidate but the RN) has held in recent elections, a unity candidate would have a strong chance of winning the presidency. 

 

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US OUTLOOK/OPINION: Atlanta Fed GDPNow Rises To 4.6% For Q2

Jun-02 15:49

Despite soft-looking ISM Manufacturing and construction spending data this morning, the Atlanta Fed's GDPNow estimate for Q2 GDP growth picked up to 4.6% vs 3.8% Friday.

  • Of the 0.8pp upgrade, about 0.2pp can be attributed to higher equipment investment and another 0.5pp to stronger PCE consumption. "The nowcasts of second-quarter real personal consumption expenditures growth and real gross private domestic investment growth increased from 3.3 percent and -1.4 percent, respectively, to 4.0 percent and 0.5 percent."
  • The latest estimate is easily the highest yet for GDPNow this quarter, and would represent a very strong rebound from -0.2% in Q1. Detailed table below:
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Source: Atlanta Fed

FED: US TSY 26W BILL AUCTION: HIGH 4.150%(ALLOT 87.95%)

Jun-02 15:33
  • US TSY 26W BILL AUCTION: HIGH 4.150%(ALLOT 87.95%)
  • US TSY 26W BILL AUCTION: DEALERS TAKE 29.30% OF COMPETITIVES
  • US TSY 26W BILL AUCTION: DIRECTS TAKE 11.26% OF COMPETITIVES
  • US TSY 26W BILL AUCTION: INDIRECTS TAKE 59.45% OF COMPETITIVES
  • US TSY 26W BILL AUCTION: BID/CVR 3.13

FED: US TSY 13W BILL AUCTION: HIGH 4.250%(ALLOT 69.18%)

Jun-02 15:33
  • US TSY 13W BILL AUCTION: HIGH 4.250%(ALLOT 69.18%)
  • US TSY 13W BILL AUCTION: DEALERS TAKE 45.07% OF COMPETITIVES
  • US TSY 13W BILL AUCTION: DIRECTS TAKE 6.39% OF COMPETITIVES
  • US TSY 13W BILL AUCTION: INDIRECTS TAKE 48.54% OF COMPETITIVES
  • US TSY 13W BILL AUCTION: BID/CVR 2.68