France’s Gloomy Economic Outlook Haunts Presidential Race

PARIS — A judge on Thursday filed preliminary charges against former President Nicolas Sarkozy in a campaign finance case, formally placing him under investigation over allegations that he illegally took donations from France’s richest woman on way to his 2007 election victory.

As goes the French economy, so goes the reelection chances of French president Nicolas Sarkozy. Although Sarkozy leads in round one, polls show that lead is shrinking at a pace that suggests he will not carry round one. More importantly, Sarkozy is trailing again by double digits in polls for the decisive round two. For those not familiar with elections in France, round one pits candidates from all the parties against each other on April 22. If no one gets 50%, the top two finishers square off in round two, on May 6.

Does it really matter who wins the French presidential election between socialist François Hollande and incumbent president Nicolas Sarkozy? What about the race in the US between President Obama and Mitt Romney? Let's discuss those questions one at at time. Does it Matter if Hollande Beats Sarkozy? In spite of alleged differences, both candidates are in support of Eurobonds, both candidates want immigration controls, both candidates want the ECB to be more proactive, both candidates want to protect French farms from import threats.

As expected Francois Hollande and incumbent Nicolas Sarkozy will square off on May 6 in round two of the French presidential elections. However, there was a huge surprise in spot number 3 as extreme right wing candidate Marine Le Pen pulled in 18% of the vote running on a dump-the-euro platform. First Round Totals Hollande: 28.6% Sarkozy: 27.1% Le Pen: 18% Please consider Le Pen voters to arbitrate Hollande-Sarkozy duel

French elections are done in two rounds. The top two candidates by popular vote square off in round two. Things do not look good for French president Nicolas Sarkozy, especially for round two. However, he may not make it that far.

Politics are heating up in France and Germany as French president Nicolas Sarkozy clings to his political life and German chancellor Angela Merkel is under increasing pressure over more bailouts. The Financial Times reports Merkel to join Sarkozy on campaign trail