PARIS, April 4 (Reuters) - Asian investors are waiting for the result of the French presidential election in May before increasing their exposure to European equities, Credit Suisse strategists said in a research note on Tuesday.
“While investors seem to have become increasingly comfortable with the European story, many are waiting for the French elections before increasing their exposure to Europe,” the Credit Suisse team said in a note published after the Swiss bank held an Asia investment conference in Hong Kong.
French stock and bond prices have rallied over the last month on growing signs that centrist candidate Emmanuel Macron will win the election, although some investors remain concerned by the relative popularity of anti-euro, far-right National Front leader Marine Le Pen.
France’s benchmark CAC-40 equity index is up by around 5 percent so far in 2017, broadly in line with a similar gain on the pan-European STOXX 600 index.
Reporting by Sudip Kar-Gupta; Editing by Mathieu Rosemain