FXPrimus’s change on Margin & Expectations on the French Election.
Due to the upcoming second round of the French Elections on May 7th 2017, and due to the uncertainty surrounding such events, FXPRIMUS will be making changes on margin requirements for new and existing positions:
- Friday 5th of May at 23:00 Server Time, all EUR pairs including but not limited to EURUSD, EURJPY & EURGBP will require a margin of 1% (1:100) to maintain open positions and to open new ones.
- Friday 5th of May at 23:00 Server Time, all European Indexes including but not limited to STOXX50, .DE30, & UK100 will require a margin of 5%
Margin requirements will be set back to normal depending on market conditions, on Monday at 09:00 Server time or earlier.
Please make sure you have enough funds to maintain your existing positions.
What is so special about the French Elections?
The world anxiously awaits the results of the second round of the French Presidential elections.
With Emmanuel Macron and Marine Le Pen as the two remaining candidates, the French populace are faced with a critical vote with far-reaching results, extending beyond the borders of France and even Europe.
Likened to Donald Trump, Marine Le Pen represents the far right party and supports an anti-European manifesto which could lead to lasting rifts within the Eurozone and a much weakened Euro.
Macron on the other hand represents a more liberal manifesto with Socialist policies and a “democratic revolution”.
The EUR benefited greatly from Macron winning the first round of the elections and markets responded positively with renewed optimism on EU matters.
With a wave of anti-immigration sentiment running through Europe and a rise in popularity of far right parties in the States, in the UK and elsewhere, the possibilities of a right-wing extremist such as Le Pen winning the vote cannot be ruled out. Round 2 will take place on May 7th.
Polls suggest that Macron is likely to be victorious, which under regular circumstances will be positive for the EUR.
Visit FXPrimus’s French Elections Page for further updates, helping you to tailor your trading strategy today!