The French Prime Minister announced his resignation, causing turmoil in the political landscape and triggering a massive shock in the market.

Jin10 data reported on October 6, the French Prime Minister Le Cornu announced his resignation on Monday morning, just a day after President Macron appointed a new cabinet, which faced widespread criticism. French government bonds fell, with the 10-year bond yield rising 9 basis points to 3.6%, widening the spread between French and German bonds (a key indicator of fiscal risk) to over 89 basis points, the highest level since the end of 2024. The French CAC40 index fell nearly 2%. The overall changes in Macron's newly announced cabinet on Sunday were minimal, which immediately triggered a strong Rebound from the opposition and some within the ruling coalition. French Socialist Party leader Olivier Faure stated that Macron's camp is “collapsing,” and the new government has lost its legitimacy. Faure's party holds potential swing votes in parliament. Shortly before Le Cornu announced his resignation, he stated: “We are witnessing an unprecedented political crisis.”