French President Emmanuel Macron took the mother-of-all political risks by calling an early election. His hope was that voters would recoil from the far-left and far-right and gravitate to his party.

Instead, the opposite has happened. The far left united and a good chunk of his own party wants to join the far right.

A new poll underscores his dismal prospects:

  • Far-right (RN) 29.5%
  • Far-left popular front 28.5%
  • Macron's centrist camp 18%

Elections are funny things and there is still some time left but the market clearly sees something it doesn't like. And notably -- both the far left and far right after for larger budget deficits.