Europe open: Stocks slip despite Macron win, focus shifts to legislative elections

European stocks slipped at the start of trading despite the better than expected showing at the weekend for French presidential candidate Emmanuele Macron, as focus rapidly shifted to the upcoming parliamentary elections in June.

As of 0810BST the Stoxx 600 was 0.05% lower at 394.33, the Cac-40 was retreating 0.30% to 5,416.30 and the Dax was higher by 0.08% at 12,725.37.

In parallel, the euro was off by 0.26% to 1.0968 against the US dollar.

The centrist-reformist Macron obtained 66.1% of the ballots, at the upper end of what most polls had predicted, amid a voter turnout of 74.6%, which was largely as expected.

Nevertheless, analysts, while upbeat, stressed that the fate of his reform drive would hinge on his ability to garner a clear enough mandate at the June elections. To that effect, on Sunday Macron said people wishing to run as candidates with his party, in the June parliamentary elections, would not be asked to quit their current political party.

"The Frexit goblin will remain locked up as Macron takes the reins. French voters have clearly expelled the populist surge which resulted in Brexit and carried Donald Trump to the White House. Hopes are really high and Macron will have to deliver.

"It was a bitter campaign and the Frexit threat could surface again, even before his term expires. If he fails to establish a new strong relationship with Brussels, then the president will be under pressure. The opposition party’s leader, Le Pen, will gather momentum over the coming years and could come back much stronger in five years' time," said Naeem Aslam, chief market analyst at Think Markets.

The proportion of blank votes cast in the French elections hit a record 9%, twice as many as in 2002, when Jacques Chirac faced off against Jean Marie Le Pen.

Manufacturing orders in Germany grew by 1.0% month-on-month in March (consensus: 0.7%), driven by a 4.8% surge in export orders, especially from other euro area economies and for capital and consumer goods.

Dutch chemicals manufacturer Akzo Nobel rejected a third takeover attempt from US rival PPG Industries, saying the mooted price tag of $27bn undervalued the company.

India's Royal Enfield has been approached by investment bank Evercore to sound out its potential interest in buying Volkswagen's Ducati, according to The Times of India.

Atlantia will be ready to present a 'friendly' binding cash and share offer for Spain's Abertis by the end of this week, La Repubblica reported.