CNBC Daily Open: French far-right advance blocked
This report is from today's CNBC Daily Open, our international markets newsletter. CNBC Daily Open brings investors up to speed on everything they need to know, no matter where they are. Like what you see? You can subscribe here .
Far-right advance thwarted
France's left-wing New Popular Front coalition unexpectedly blocked a far-right advance in the parliamentary run-off vote, securing the largest number of seats but falling short of an absolute majority. Estimates projected the coalition to win between 180 and 215 seats, while President Macron's Ensemble party was set to secure 150 to 180 seats and the far-right Rassemblement National 120 to 150 seats. No party achieved the 289 seats needed for a majority, indicating a likely hung parliament in Europe's third-largest economy. Here's what a hung parliament could mean for markets.
Record highs
The S&P 500 reached its 34th record close of the year. The tech-centric Nasdaq Composite joined the broader S&P, setting session highs and closing records. All three major indexes had a positive week, the Nasdaq climbed 3.5%, the S&P advanced nearly 2% and the Dow Jones Industrial Average lagged, adding 0.7%. Year-to-date gains for the S&P 500 and the Nasdaq are 16.7% and 22.3% respectively. The yield on the 10-year Treasury fell after the unemployment rate rose unexpectedly. U.S. oil prices booked a fourth-straight weekly gain.
Mixed signals
June's jobs report presented mixed signals for the Federal Reserve. While the economy added 206,000 jobs, surpassing forecasts, the unemployment rate ticked up to 4.1%, its highest level since October 2021. This unexpected rise suggests a potential cooling in the labor market, complicating the Fed's decision on interest rates. "It's a soft