European markets dropped on Monday as violent weekend protests and widespread looting across France sparked investor anxiety and pushed up French borrowing costs.
Key facts
- •The FTSE 100 Index in London ended down 1.1% at 10,764.69 on Monday.
- •French Interior Minister Laurent Nuñez reported that 2,400 people were arrested during the weekend unrest.
- •President Emmanuel Macron refused an offer of resignation from Interior Minister Laurent Nuñez.
- •Retail federation head and Carrefour CEO Alexandre Bompard stated that about 1,500 shops were hit by looters.
- •French 10-year government bond yields rose following the weekend protests.
European stock markets retreated on Monday following a weekend of violent protests and looting across France that resulted in widespread property damage, thousands of arrests, and a spike in French bond yields. French President Emmanuel Macron condemned the violence, while authorities grappled with the fallout from demonstrations that turned destructive.
By the numbers
Market Declines and Bond Yield Spikes
European equity markets sank as investors reacted to the unrest in France. In London, the FTSE 100 Index ended down 117.21 points at 10,764.69, while the CAC 40 in Paris and the DAX 40 in Frankfurt also retreated. French borrowing costs rose amid the market nervousness, with the 10-year government bond yield increasing following the weekend chaos. The euro also came under pressure against both the US dollar and the British pound.
Unrest and Official Response in France
The violence followed nationwide marches that drew approximately 550,000 people to protest rising living costs and conditions in schools before descending into rioting in cities including Paris, Lyon, Marseille, and Bordeaux. Interior Minister Laurent Nuñez reported 2,400 arrests and offered to resign after admitting a lack of anticipation and loss of control, but President Macron refused the resignation. French Prime Minister Sebastien Lecornu stated that curfews were a better solution, though he did not rule out a state of emergency.
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This article was independently rewritten by ManyPress editorial AI from reporting originally published by Evening Standard Business, Euronews Business.
