Sébastien Lecornu leads a minority government in France’s fragmented National Assembly, where no single bloc holds a majority following repeated parliamentary gridlock since 2024. His administration passed the 2026 budget in early February after invoking Article 49.3 multiple times and surviving opposition no-confidence motions from both left and right blocs. Persistent risks stem from the need for cross-party support on future legislation, potential renewed budget disputes, and President Macron’s authority to appoint or replace the prime minister. Traders monitor parliamentary sessions, coalition negotiations with parties such as Les Républicains, and any signs of renewed instability that could trigger a government collapse or snap elections. No major developments have occurred since the spring.