On top of speculation on French bonds and CDS’ (click here if you missed my last post), [traders] algos are also programmed to buy/sell the EUR/USD of course.
Keywords are probably : Macron, Marine Le Pen, Bayrou, Fillon démission, sondages, etc
So when Bayrou annouced this pm that he was going to form an alliance with Macron, the EUR/USD spiked 40bps. Macron is a bullish eur/usd keyword 🙂 and Le Pen is bearish. Bayrou is probably an unknown keyword for most algos which are – by the way – located outside France (…)
Bayrou’annoucement in one chart:
The road to French P. elections will be bumpy…
To be continued…