The euro is growing amid the results of the first round of parliamentary elections in France

On Monday, the euro strengthened after a less significant than expected victory of the far-right party in the first round of parliamentary elections in France. In addition, the strengthening of the euro is facilitated by the fact that the left-wing coalition, which also wants to increase public spending, did not receive more votes than expected.

The far-right National Rally party led by Marine Le Pen won the most votes in the first round of elections in France, although analysts note that this is a smaller share than some polls predicted. The results of the first round caused growth in the stock and bond markets.

At the time of writing, the euro/dollar pair rose 0.3% to 1.0748, after earlier rising by more than 0.5%, reaching a two-week high. The pair has lost about 1.3% since the triumph of the French far-right in the European Parliament elections in early June, which forced President Emmanuel Macron to call early elections.

Investors are concerned that the National Rally may come to power through cooperation with Macron and begin to promote an agenda of high spending and euroscepticism.