Daily Flows

• With significant climbs in reference rates, market participants have been electing to term out and take advantage of six-month NCD levels upwards of 5.36%.
• In the TD space, a two-year rate of 5.35% attracted significant flow.
• There is demand in the Semi-government FRN space with margins upwards of +30 and volume available in the QTC 2030.

First Round Done In France

• After the first round of elections, France’s National Rally came in first, attracting 33% of votes, followed by the New Popular Front (NPF) party at 28%.
• The result suggests that the far-right party will defeat Macron but not win an outright majority in parliament.
• For the seats where no candidate won outright in the first round, a second round of voting will ensue on the 7th of July.
• A total of 289 seats out of 577 is required to win a majority.
• Stocks in France rallied after a lower-than-expected percentage of votes was won by right-wing parties in the first round.
• Political uncertainty continues to remain a theme in Europe and also in the U.S. as they wait for the November elections to pass.