A1 Italy sighs while tightening its belt after the French referendum.

A French referendum on monetary union will be held Sept. 20, and opinion polls now suggest a close result.

As in all previous French referendums, the officially-announced result was nearly unanimous.

The volatility displayed by the market last week will almost certainly continue at least until the French referendum next month.

The result, following closely after the French referendum on 29 May, compounds the crisis surrounding the ratification process.

This was clear in the French referendum on European unity a week ago, when the working class and farmers overwhelmingly voted no.

With the shadow of the French referendum hanging over the community, exchange markets are certain to remain unstable.

It is possible that the outcome of a French referendum on European currency unity could mean lower interest rates there.

The day of the French referendum, 29 May 2005, is not even a minor detail for him.

I am not sure whether the 'No' vote in the French referendum offers other prospects for the long-term future.