April: How a Month of Election News Impacted Markets

Sentiment in April was dominated by the perceived election relief in France and the U.K. surprise announcement of a snap election in early June

Cyrique Bourbon 3 May, 2017 | 3:54PM

“Elections, elections, elections” as goes the market hyperbole. There is no doubt that sentiment in April was dominated by the perceived election relief in France and the U.K. surprise announcement of a snap election in early June.

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This created a tale of two halves for the month, with initial nervousness for the European Union turning into optimism. Expressly, the first round of the French elections proceeded according to the polls, meanwhile Theresa May is generally expected to solidify the Tories’ lead in the Commons and tighten her grip on Brexit negotiations. This gave sterling and the euro a welcome boost, jumping more than 3% and 2% respectively against the US dollar.

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About Author

Cyrique Bourbon  is multi-asset portfolio manager for Morningstar Investment Management EMEA

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