Group 1 - French markets experienced a significant decline following the resignation of Prime Minister Sebastien Lecornu, leading to concerns over potential snap elections and political instability [1][2] - French bonds saw a notable drop, with 10-year yields increasing by 11 basis points to 3.61%, resulting in the highest premium for holding French debt over German bonds this year [1][3] - The CAC 40 Index fell by 1.5%, with banks being the most affected sector, while the euro weakened by 0.7% against the dollar [1] Group 2 - The ongoing political crisis in France has led to the resignation of multiple prime ministers, complicating the passage of a budget through a divided parliament, which includes unpopular spending cuts and tax increases [2] - Analysts express concern that the inability of successive prime ministers to govern could eventually lead to the resignation of President Macron, exacerbating the political crisis [3] - The French-German bond spread has become a critical metric for investors, with expectations that it may widen to 100 basis points, indicating increased risk perception regarding French debt [5]