Markets are reacting cautiously to the shift to the right in Rome

Frankfurt The capital market coped well with the shift to the right in Italy on the day after the election: bonds reacted, but the euro recovered quickly after a brief slump and stocks initially even rose on Monday. “The big panic didn’t materialize,” says Daniel Lenz, head of interest rate market strategy at DZ Bank. “The market reacted relatively calmly because everything went as expected.” In the longer term, however, he fears problems for Italian government bonds.

A statement by Union Invest states: “In the short term, the result for investors is initially not so bad, because the markets are spared a long government formation and thus a long phase of uncertainty.” However, the fund company of the cooperative sector is cautious about Italian bonds .