Tag Archives: France

France’s lawmakers urged to unite on emergency rule

A Portuguese citizen places a candle during a candle vigil held at the French Embassy in Manama to condemn and mourn the attack in Nice, France, where a driver of a heavy truck ran into a crowd on Bastille Day killing at least 84 people

By Brian Love

PARIS (Reuters) – France’s government, smarting from accusations that it did not do enough to prevent last week’s deadly truck attack in Nice, urged lawmakers on Tuesday to extend a period of emergency rule that gives police greater search-and-arrest powers.

Criticized by opposition politicians and jeered by crowds at a remembrance ceremony on Monday, Prime Minister Manuel Valls wants lawmakers to back a three-month rollover of the emergency regime imposed after a previous lethal attack last November.

“We need people to stay together, we want to move fast with broad backing,” said government spokesman Stephane Le Foll.

The move came as Nice’s seafront boulevard, the Promenade des Anglais, reopened after Thursday’s attack, in which Tunisian Mohamed Lahouaiej Bouhlel drove a truck into crowds of Bastille Day resellers, killing 84, before being shot dead by police.

Dozens more were hurt and 19 people remain on life support five days after the carnage that prosecutor Francois Molins described as terrorist. Islamic State has claimed the attack although no hard evidence linking Bouhlel to the militant group has been found.

Molins said Bouhlel had shown sudden signs of interest in hardline Islamist propaganda in the days before he ran amok while noting that he also ate pork, drank alcohol and engaged in “unbridled sexual activity”.

Speaking ahead of Tuesday evening’s parliamentary debate on the emergency rule plan, Le Foll said President Francois Hollande’s Socialist government was willing to consider a longer, six-month extension of emergency rule in line with demands from right-wing members of the National Assembly.

Defense Minister Jean-Yves Le Drian said French fighter jets would keep bombing the strongholds of Islamic State, which has seized control of parts of Syria and Iraq and called for believers to attack France because of its bombardments.

“This is not just symbolic,” Le Drian said of the emergency rule bill, adding that France was second only to the United States in the number of air strikes against Islamic State bases.

“We can see from what happened in Germany that the threat is everywhere,” the minister said, alluding to news of yet another attack overnight in Germany in which a man hit train commuters with an axe, seriously injuring four.

As tension ran high over risks of further attacks in France, police officials also confirmed that explosives had been found at the flat of an arrested taxi driver who was on an intelligence services watchlist.

The number of French people who believe Francois Hollande is up to the task of tackling terrorism plunged to 33 percent after the attack in Nice, from confidence ratings of 50 percent or so in the wake of the two other big attacks in early and late 2015.

France imposed emergency rule after the Nov. 13 attacks in which Islamist militants killed 130 people in Paris, giving the police powers to search homes and place people under immediate house arrest without advance clearance from judges.

The bill to be debated in parliament on Tuesday night would also grant police and spy services greater powers to dig into suspects’ computers and mobile phone communications.

Another poll published on Tuesday asked voters who they absolutely did not want to see elected leader of France next June: 73 percent said Hollande, but the percentage hostile to far-right leader Marine Le Pen, who some believe will benefit from a climate of voter alienation, topped 60 percent.

(Reporting by Brian Love, Marine Pennetier and Emmanuel Jarry in Paris, and Matthias Galante in Nice; Editing by Andrew Callus and Catherine Evans)

Faith in Government drops, politicians jeered as France mourns

A woman takes a picture of a heart shape makeshift memorial before the minute of silence on the third day of national mourning to pay tribute to victims of the truck attack along the Promenade des Anglais on Bastille Day in Nice, France,

By Brian Love and Matthias Galante

PARIS/NICE, France (Reuters) – Confidence in the capacity of Francois Hollande’s government to combat terrorism has plummeted in the wake of the truck attack that killed 84 people in the southern French coastal city of Nice, an opinion poll published on Monday suggested.

The poll published in Le Figaro newspaper showed 33 percent of respondents were confident in the current leadership’s ability to meet the challenge, down sharply from ratings of 50 percent upwards in the wake of two major attacks last year.

In Nice, Prime Minister Manuel Valls joined thousands packing the seafront, scene of the Bastille day carnage, for a minute of silence in homage to the victims.

There were jeers as he and local politicians departed. BFMTV reported that there were placards in the crowd calling for Hollande to resign.

The latest poll came at a moment when, less than a year from a presidential election, political opponents have fast abandoned the restraint that usually prevails on such occasions to sharply criticize the Socialist leader and his government.

Ex-president Nicolas Sarkozy, who is competing in a November primary for the ticket to run as presidential candidate for France’s mainstream center-right parties, said overnight Hollande’s government had failed to do all it could.

“I know there’s no zero risk, I know perfectly well that we don’t pull each other apart before the victims have even been buried,” he told TF1 TV.

“But I want to say, because it’s the truth, that everything that should have been done over the last 18 months … wasn’t done.”

Thursday’s attack, in which delivery man Mohamed Lahouaiej Bouhlel plowed a 19-tonne truck into crowds of revelers, killing 84, has plunged France back into a state of grief, fear, and now political recrimination.

While Sarkozy’s criticism was true to character, the accusations of government failings also came from his rival for the conservative ticket, Alain Juppe, who is customarily more measured in rhetoric but has recently sounded more strident.

The government has struck back by denouncing opponents for breaking ranks so fast.

Speaking ahead of the nationwide minute-of-silence on Monday, Interior Minister Bernard Cazeneuve accused the government’s opponents of breaking ranks in an unseemly way.

“We’ve seen tirades emerge immediately and personally this is both shocking and sad … it’s undignified in the current context,” he said.

He was speaking as a number of people arrested as part of a police inquiry into the attack in Nice arrived under police escort in Paris on Monday for questioning at the headquarters of France’s counter-terrorism department in the western edge of Paris.

(Reporting By Brian Love; Editing by Andrew Callus)

France investigating whether truck attacker acted alone – 10 children dead

A body is seen on the ground after a truck ran into a crowd celebrating the Bastille Day national holiday in Nice, France.

NICE, France (Reuters) – French authorities were trying to determine on Friday whether a Tunisian who killed at least 84 people by plowing a truck into Bastille Day crowds had acted alone or with accomplices, but said the attack bore the hallmarks of Islamist militants.

Thursday night’s attack in the Riviera city of Nice plunged France again into grief and fear just eight months after gunmen killed 130 people in Paris. Those attacks, and one in Brussels four months ago, have shocked Western Europe, already anxious over security challenges from mass immigration, open borders and pockets of Islamist radicalism.

The truck zigzagged along the city’s seafront Promenade des Anglais as a fireworks display marking the French national day ended on Thursday night. It careered into families and friends listening to an orchestra or strolling above the Mediterranean beach toward the century-old Hotel Negresco.

At least 10 children were among the dead. Of the scores of injured, 25 were on life support, authorities said on Friday.

Bystander Franck Sidoli said he had seen people go down before the truck finally stopped just five meters away from him.

“A woman was there, she lost her son. Her son was on the ground, bleeding,” he told Reuters at the scene.

The driver, 31-year-old Mohamed Lahouaiej Bouhlel, shot dead by officers at the scene, was known to police for petty crimes but was not on a watch list of suspected militants. He had one criminal conviction for road rage, sentenced to probation three months ago for throwing a wooden pallet at another driver.

The investigation “will try to determine whether he benefited from accomplices,” Paris prosecutor Francois Molins said. “It will also try to find out whether Mohamed Laouaiej Bouhlel had ties to Islamist terrorist organizations.”

“Although yesterday’s attack has not been claimed, this sort of thing fits in perfectly with calls for murder from such terrorist organizations,” he added.

Bouhlel’s ex-wife was in police custody, Molins said. Police found one pistol and various fake weapons in his truck.

DRIED BLOOD, SMASHED STROLLERS

Dawn broke on Friday with pavements smeared with dried blood. Smashed children’s strollers, an uneaten baguette and other debris were strewn about the promenade. Small areas were screened off and what appeared to be bodies covered in blankets were visible through the gaps.

The truck was still where it had come to rest, its windscreen riddled with bullets.

“I saw this enormous white truck go past at top speed,” said Suzy Wargniez, a local woman aged 65 who had watched from a cafe on the promenade. “It was shooting, shooting.”

At Nice’s Pasteur hospital, medical staff were treating large numbers of injuries. Waiting for friends who were being operated on was 20-year-old Fanny.

“The truck pushed me to the side. When I opened my eyes I saw faces I didn’t know and started asking for help,” she told Reuters. “Some of my friends were not so lucky. They are having operations as we speak.”

Tunisian security sources told Reuters the suspect had last visited his hometown of Msaken four years ago. He had three children and was not known by the Tunisian authorities to hold radical or Islamist views.

BODIES EVERY FIVE METERS

“France is filled with sadness by this new tragedy,” President Francois Hollande said in a dawn address.

A state of emergency imposed after the November attacks was extended by a further three months. Military and police reservists would be called up to help enforce it.

Nice-Matin journalist Damien Allemand had been watching the firework display when the truck tore by. After taking cover in a cafe, he wrote on his paper’s website of what he saw: “Bodies every five meters, limbs … Blood. Groans.”

“The beach attendants were first on the scene. They brought water for the injured and towels, which they placed on those for whom there was no more hope.”

Neighbors in the residential neighborhood in northern Nice where Bouhlel lived described him as a handsome but unsettling man, with a tense personality.

“I would say he was someone who was pleasing to women,” said neighbor Hanan, standing in the lobby of the apartment building where Bouhlel lived. “But he was frightening. He didn’t have a frightening face, but … a look. He would stare at the children a lot.”

Police carried out a controlled explosion on a white van near the home, blowing the doors open and leaving shattered glass all around, but it was not clear whether they found anything incriminating.

Bouhlel’s Tunisian home town Msaken is about 10 km (six miles) outside the coastal city of Sousse, where a gunman killed 38 people, mostly British holidaymakers, on a beach a year ago. Many people from the area have moved to France, including Nice which is home to as many as 130,000 Tunisians.

CRITICISM

With presidential and parliamentary elections less than a year away, French opposition politicians seized on what they described as security failings that made it possible for the truck to career 2 km (1.5 miles) through large crowds before it was finally halted.

Christian Ertosi, a security hardliner who was mayor of Nice until last month and is now president of the Riviera region in which Nice lies, had written on the eve of the attack to Hollande to demand more funding for police.

“As far as I’m concerned, I demand answers, and not the usual stuff,” Estrosi said on BFM TV Friday morning hours after the attack, questioning whether the government provided enough national police officers for the fireworks display.

(GRAPHIC: Map of Nice truck attack http://tmsnrt.rs/29LqLWk)

After the Paris attacks, Islamic State said France and all nations following its path would remain at the top of its list of targets as long as they continued “their crusader campaign”, referring to action against the group in Iraq and Syria.

France is a major part of a U.S.-led mission conducting air strikes and special forces operations against Islamic State, as well as training Iraqi government and Kurdish forces. France has also sent troops to West Africa to battle Islamist insurgents.

“We will further strengthen our actions in Syria and Iraq,” Hollande said, calling the tragedy – on the day France marks the 1789 revolutionary storming of the Bastille prison in Paris – an attack on liberty by fanatics who despised human rights.

“We are facing a battle that will be long because facing us is an enemy that wants to continue to strike all people and all countries that have values like ours,” he said.

France is home to the European Union’s biggest Muslim population, mostly descended from immigrants from North African former colonies. It maintains a secular culture that allows no place for religion in schools and civic life, which supporters say encourages a common French identity but critics say contributes to alienation in some communities.

The Paris attack in November was the bloodiest among a number in France and Belgium in the past two years. On Sunday, a weary nation had breathed a sigh of relief that the month-long Euro 2016 soccer tournament had ended without serious incident.

Four months ago, Belgian Islamists linked to the Paris attackers killed 32 people in Brussels. Recent weeks have also seen major attacks in Bangladesh, Turkey and Iraq.

U.S. President Barack Obama condemned what he said “appears to be a horrific terrorist attack”. Others world leaders sent similar messages.

Nice, a city of 350,000, has a history as a flamboyant aristocratic resort but is also a gritty metropolis. It has seen dozens of its Muslim residents travel to Syria to fight.

On social media, Islamic State supporters celebrated the high death toll and posted a series of images, one showing a beach purporting to be that of Nice with white stones arranged to read “IS is here to stay” in Arabic.

(Additional reporting by Matthias Blamont, Maya Nikolaeva, Michel Rose, Bate Felix, Brian Love, Bate Felix and John Irish in Paris, Alastair Macdonald in Brussels, Omar Fahmy in Cairo, Tarek Amara in Tunis and Andreas Rinke in Ulaanbaatar; Writing by Alastair Macdonald, Andrew Callus, David Stamp and Peter Graff; Editing by Sonya Hepinstall, Pravin Char and Andrew Heavens)

Truck attacker kills 84 celebrating France’s Bastille Day

A woman places a bouquet of flowers as people pay tribute near the scene where a truck ran into a crowd at high speed killing scores and injuring more who were celebrating the Bastille Day national holiday in Nice

By Sophie Sassard and Michel Bernouin

NICE, France (Reuters) – An attacker at the wheel of a heavy truck plowed into crowds celebrating Bastille Day in the French city of Nice, killing at least 84 people and injuring scores more in what President Francois Hollande called a terrorist act.

The driver, identified by police sources as a 31-year-old Tunisian-born Frenchman, also appeared to open fire before officers shot him dead. The man, named as Mohamed Lahouaiej Bouhlel, was not on the watch list of French intelligence services but was known to the police in connection with common crimes such as theft and violence, the sources said.

Interior Minister Bernard Cazeneuve said 18 people were in a critical condition after the attack on Thursday night, when the white truck zigzagged along the seafront Promenade des Anglais as a fireworks display marking the French national day ended just after 10:30 p.m. (4.30 p.m. ET).

The dead included several children, while the U.S. State Department said two American citizens had been killed. Russian student Viktoria Savchenko was also among the dead, according to the Moscow academy where she studied.

According to one city official, the rented truck careered on for up to 2 km (1.5 miles).

“People went down like nine-pins,” Jacques, who runs Le Queenie restaurant on the seafront, told France Info radio.

The attack seemed so far to be the work of a lone assailant.

Hollande said in a pre-dawn address that he was calling up military and police reservists to relieve forces worn out by enforcing a state of emergency begun in November after Islamic State gunmen and suicide bombers struck Paris entertainment spots on a Friday evening, killing 130 people.

Only hours earlier he had announced the emergency would be lifted by the end of July. Following the attack, he said it would be extended by a further three months.

“France is filled with sadness by this new tragedy,” Hollande said. “There’s no denying the terrorist nature of this attack.”

Major events in France have been guarded by troops and armed police since the Nov. 13 attacks. But it appeared to have taken many minutes to halt the progress of the truck as it tore along pavements and a pedestrian zone.

One witness said she thought the attacker was firing a gun as he drove.

“I saw this enormous white truck go past at top speed,” said Suzy Wargniez, a local woman aged 65 who was watching from a cafe on the promenade. “It was shooting, shooting.”

A local government official said weapons and grenades were later found inside the vehicle which was made by Renault Trucks.

Nice-Matin newspaper said on Twitter that police were searching the attacker’s home in the Nice neighborhood of Abattoirs. It gave no source of the information.

(GRAPHIC: Map of Nice truck attack http://tmsnrt.rs/29LqLWk)

ISLAMIC STATE TARGETS FRANCE

After the Paris attacks, Islamic State said France and all nations following its path would remain at the top of its list of targets as long as they continued “their crusader campaign”, referring to action against the group in Iraq and Syria.

France is conducting air strikes and special forces operations against Islamic State, as well as training Iraqi government and Kurdish forces.

“We will further strengthen our actions in Syria and Iraq,” Hollande said, calling the tragedy – on the day France marks the 1789 revolutionary storming of the Bastille prison in Paris – an attack on liberty by fanatics who despised human rights.

France has also sent troops to west Africa to keep Islamist insurgents at bay. The country is home to the European Union’s biggest Muslim population, and critics say it has alienated some in the community through strict adherence to a secular culture that allows no place for religion in schools and civic life.

Dawn broke on Friday with pavements smeared with dried blood. Smashed children’s strollers, an uneaten baguette and other debris were strewn about the promenade. Small areas were screened off and what appeared to be bodies covered in blankets were visible through the gaps.

The truck was still where it came to rest, its windscreen riddled with bullets.

There had been no claim of responsibility on Friday morning.

The truck careered into families and friends listening to an orchestra or strolling above the beach on the Mediterranean Sea toward the grand, century-old Hotel Negresco.

Bystander Franck Sidoli said he had seen people go down. “Then the truck stopped, we were just five meters away. A woman was there, she lost her son. Her son was on the ground, bleeding,” he told Reuters at the scene.

The Paris attack in November was the bloodiest among a number in France and Belgium in the past two years. On Sunday, a weary nation had breathed a sigh of relief that the month-long Euro 2016 soccer tournament had ended without serious incident.

Four months ago, Belgian Islamists linked to the Paris attackers killed 32 people in Brussels.

Vehicle attacks have been used by isolated members of militant groups in recent years, notably in Israel, though never to such devastating effect.

Pop star Rihanna canceled a concert scheduled to be held in Nice on Friday. Riders on the Tour de France, the top event on the international cycling calendar, observed a minute’s silence before Thursday’s stage, held three hours’ drive northwest of Nice. Security has been tightened for the three-week race, which is watched by huge crowds lining the route around the country.

U.S. President Barack Obama condemned what he said “appears to be a horrific terrorist attack”. Others joining him included German Chancellor Angela Merkel, Pope Francis, Russian President Vladimir Putin, and officials from Spain, Sweden, the European Union, NATO and the U.N. Security Council.

Turkey, where Islamic State and Kurdish militants have staged a number of attacks in recent months, offered its condolences. “For terrorist groups, there is no difference between Turkey and France, Iraq and Belgium, and Saudi Arabia and the United States,” said President Tayyip Erdogan.

On social media, Islamic State supporters celebrated the high death toll and posted a series of images, one showing a beach purporting to be that of Nice with white stones arranged to read “IS is here to stay” in Arabic.

HIDING IN TERROR

Nice-Matin journalist Damien Allemand had been watching the firework display when the truck tore by. After taking cover in a cafe, he wrote on his paper’s website of what he saw: “Bodies every five meters, limbs … Blood. Groans.”

“The beach attendants were first on the scene. They brought water for the injured and towels, which they placed on those for whom there was no more hope.”

Officials have warned of the continuing risk of Islamist attacks in Europe. Reverses for Islamic State in Syria and Iraq have raised fears it might strike again, using alienated young men from the continent’s Arab immigrant communities.

Nice, a city of 350,000, has a history as a flamboyant, aristocratic resort but is also a gritty metropolis. It has seen dozens of its Muslim residents travel to Syria to fight.

At Nice’s Pasteur hospital, medical staff were treating large numbers of injuries. Waiting for friends who were being operated on, 20-year-old Fanny told Reuters she had been lucky.

“We were all very happy, ready to celebrate all night long,” she said. “I saw a truck driving into the pedestrian area, going very fast and zig-zagging.

“The truck pushed me to the side. When I opened my eyes I saw faces I didn’t know and started asking for help … Some of my friends were not so lucky. They are having operations as we speak. It’s very hard, it’s all very traumatic.”

(Additional reporting by Matthias Blamont, Maya Nikolaeva, Michel Rose, Bate Felix, Brian Love adn Bate Felix in Paris, Alastair Macdonald in Brussels, Omar Fahmy in Cairo and Andreas Rinke in Ulaanbaatar; Writing by Alastair Macdonald, Andrew Callus and David Stamp; Editing by Sonya Hepinstall and Pravin Char)

Truck attacker kills dozens in Nice, driver shot dead

An injured individual is seen on the ground after at least 30 people were killed in Nice, France, when a truck ran into a crowd celebrating the Bastille Day national holiday July 14, 2016.

By Michel Rose

PARIS (Reuters) – At least 30 people were killed and 100 injured in the French Riviera city of Nice late on Thursday when a truck ploughed into crowds watching a fireworks display on France’s Bastille Day national holiday in a criminal attack, a local official said.

The driver, who drove at high speed for over 100 meters (yards) along the famed Promenade des Anglais seafront before hitting the mass of spectators, was shot dead, sub-prefect Sebastien Humbert told France Infos radio.

Humbert described it as a clear criminal attack, although the driver was not yet identified. Residents of the Mediterranean city close to the Italian border were advised to stay indoors. There was no sign of any other attack.

Almost exactly eight months ago Islamic State militants killed 130 people in Paris. On Sunday, France had breathed a sigh of relief as the month-long Euro 2016 soccer tournament ended without a feared attack.

“Dear Nicois,” local mayor Christian Estrosi tweeted, “The driver of a truck appears to have killed dozens of people. Stay at home for the time being. More news to follow.”

Regional newspaper Nice Matin quoted its reporter at the scene saying there were many injured people and blood on the street. It published a photograph of a damaged, long-distance delivery truck, which it said was riddled with bullets and images of emergency services treating the injured.

Damien Allemand, the paper’s correspondent, was quoted as saying: “People are running. It’s panic. He rode up onto the Prom and piled into the crowd … There are people covered in blood. There must be many injured.”

Social media carried images of people lying apparently lifeless in pools of blood.

U.S. government agencies have received constant reports of Islamic State threats to attack France and those threats are regarded as current, a U.S. security official said. However, two U.S. officials said they had no information at this point about whether militants were involved in the Nice incident.

CNN said it has spoken to a witness, identified as an American pilot, who saw the truck ramming the crowd. The witness said the driver mowed people down, accelerating as he hit them. The witness said there was only one person in the truck.

Local mayor Estrosi has warned in the past of the risk of Islamist attacks in the region, following Islamic State bloodshed in Paris and Brussels over the past 18 months.

French President Francois Hollande, who was in the south of France at the time, had hours earlier said a state of emergency put in place after the Paris attacks in November would not be extended when it was due to expire on July 26.

“We can’t extend the state of emergency indefinitely, it would make no sense. That would mean we’re no longer a republic with the rule of law applied in all circumstances,” Hollande told journalists in a traditional Bastille Day interview.

(Writing by Alastair Macdonald; Editing by James Dalgleish)

Armed guards to patrol French beaches this summer

Special intervention French gendarmes and police arrive at the scene of an operation

PARIS (Reuters) – Police officers armed with automatic pistols will patrol France’s beaches for the first time this summer, a national police spokesman said on Wednesday.

Around 100 police officers will carry the pistols, rather than the customary telescopic truncheons, when sent on beach safety duties for the peak summer season, the official said.

“This is not about a specific terrorist threat to France’s beaches but rather a decision to increase security generally given the very high threat level nationwide,” the official said.

Many French beaches are staffed during the July-August peak holiday period with lifeguards and a small team of safety and health staff headed up by an officer from the CRS riot police department.

France is on high security alert after Islamist militants killed 130 people in attacks in Paris last November.

(Reporting by Gerard Bon; Writing by Brian Love; Editing by Janet Lawrence)

Brexit vote hits pound and markets, political crisis deepens

Workers walk in the rain at the Canary Wharf business district in London, Britain

By William James and Jamie McGeever

LONDON (Reuters) – Britain’s vote to leave the European Union sent new shockwaves through financial markets on Monday, despite efforts by the country’s leaders to end the deep political and economic uncertainty unleashed by the decision.

Finance minister George Osborne said the British economy was strong enough to cope with the volatility caused by Thursday’s referendum, the biggest blow since World War Two to the European goal of forging greater unity.

But the pound later sank to its lowest level against the U.S. for 31 years and British shares continued the fall that began last week when Britons confounded expectations by voting to end 43 years of EU membership.

Chinese Premier Li Keqiang said uncertainties over the global economy had heightened and called for a “united, stable EU, and a stable, prosperous Britain”.

But with the ruling Conservatives looking for a new leader after Prime Minister David Cameron’s resignation on Friday and lawmakers from the opposition Labour party stepping up a rebellion against their leader, Britain sank deeper into political and economic turmoil.

“There’s no political leadership in the UK right when markets need the reassurance of direction,” said Luke Hickmore of Aberdeen Asset Management, expressing the view of many in the City of London financial center.

Although Cameron is staying on until October as a caretaker, he refused to start formal moves immediately to pull Britain out of the EU. This prompted many European leaders to demand quicker action by Britain, the EU’s second largest economy after Germany before the vote.

“France like Germany says Britain has voted for Brexit. It should be implemented quickly. We cannot remain in an uncertain and indefinite situation,” French finance minister Michel Sapin said on France 2 television.

Guenther Oettinger, a German member of the EU’s executive European Commission, also issued a warning.

“Every day of uncertainty prevents investors from putting their funds into Britain, and also other European markets,” he told Deutschlandfunk radio. “Cameron and his party will cause damage if they wait until October.”

German Chancellor Angela Merkel has taken a softer line, underlining the need to continue a positive trade relationship with Britain, a big market for German carmakers and other manufacturers.

But a Merkel ally, Volker Kauder, made clear the exit negotiations would not be easy.

“There will be no special treatment, there will be no gifts,” Kauder, who leads Merkel’s conservatives in parliament, told ARD television.

FINANCIAL MARKETS’ MISJUDGMENT

Financial markets misjudged the referendum, betting on the status quo despite abundant signs that the vote would be close.

When reality dawned, the reaction was brutal. Sterling fell as much as 11 percent against the dollar on Friday for its worst day in modern history, while $2.8 trillion was wiped off the value of world stocks – the biggest daily loss ever.

That trumped even the Lehman Brothers bankruptcy during the 2008 financial crisis and the Black Monday stock market crash of 1987, according to Standard & Poor’s Dow Jones Indices.

Osborne tried to ease investors’ concerns in his first public comments since the referendum. He said he was working closely with the Bank of England and officials in other leading economies for the sake of stability as Britain reshapes its relationship with the EU.

“Our economy is about as strong as it could be to confront the challenge our country now faces,” he told reporters at the Treasury. “It is inevitable after Thursday’s vote that Britain’s economy is going to have to adjust to the new situation we find ourselves in.”

Boris Johnson, a leading proponent of a Brexit and likely contender to replace Prime Minister David Cameron who resigned on Friday, praised Osborne for saying “some reassuring things to the markets.”

The former London mayor said outside his home in north London that it was now clear “people’s pensions are safe, the pound is stable, markets are stable. I think that is all very good news.”

But financial markets took a different view, with sterling sliding Monday, shedding more than 3 percent against the dollar to $1.3221

The yield on British 10-year government bonds fell below one percent for the first time due to investors betting that the Brexit vote would trigger a Bank of England interest rate cut aimed at steading the economy.

Many economists have cut economic growth forecasts for Britain, with Goldman Sachs expecting a mild recession within a year.

But the risks affect economies far beyond Britain.

“Against the backdrop of globalization, it’s impossible for each country to talk about its own development discarding the world economic environment,” China’s Li told the World Economic Forum in the city of Tianjin.

Japanese Prime Minister Shinzo Abe instructed his finance minister to watch currency markets “ever more closely” and take steps if necessary.

At the weekend, the policy chief of Abe’s LDP party held open the possibility of currency intervention to weaken the yen and temper “speculative, violent moves”.

DIVIDED PARTIES

The referendum has revealed social as well as economic stresses in divided Britain. Immigration emerged as one of the main themes of the referendum campaign, with those who backed a British exit saying the EU had allowed uncontrolled numbers of migrants to arrive from eastern Europe.

Police said offensive leaflets targeting Poles had been distributed in Huntingdon, central England, and graffiti had been daubed on a Polish cultural center in central London on Sunday, three days after the vote.

According to a local newspaper, the Cambridge News, the leaflets said: “Leave the EU/No more Polish vermin” in English and Polish.

The Polish embassy in London said it was shocked by the “recent incidents of xenophobic abuse directed against the Polish community and other UK residents of migrant heritage.”

With Britain now facing uncertainty over how its trade relationship with the EU will unfold, Johnson tried to calm fears by writing in the Daily Telegraph newspaper that there would be continued free trade and access to the single market.

He did not set out any details but suggested Britain would not accept free movement of workers, saying it could implement an immigration policy which suited business and industry.

However, single market rules stipulate that countries must accept the free movement of people as well as goods. Yielding on immigration would anger many Britons who voted to leave, believing this would halt a tide of workers from eastern Europe.

Johnson is expected to declare soon that he is running to lead the Conservatives, who have been divided for decades between pro- and anti-EU factions.

Divisions within the opposition are also deep. A wave of Labour lawmakers resigned from leader Jeremy Corbyn’s team on Monday, adding to the 11 senior figures who quit on Sunday.

They say Corbyn, a veteran left-winger who has strong support among ordinary party members, is not fit to lead the party and point to his low-key campaign to keep Britain in the EU.

If repeated at the next parliamentary election, due in 2020, they fear Labour faces disaster following its near wiping out in Scotland last year. Corbyn has said he is going nowhere.

(Additional reporting by Kevin Yao, Costas Pitas, Bate Felix, Andrea Shalal, Michael Holden, Guy Faulconbridge, David Milliken, Patrick Graham, Anirban Nag, Conor Humphries, Minami Funakoshi and Tetsushi Kajimoto, Writing by David Stamp, Editing by Timothy Heritage)

Paris protesters march under huge police presence

Security check in France during protest

By Ingrid Melander and Brian Love

PARIS (Reuters) – Thousands of demonstrators marched under massive police presence in Paris on Thursday to demand that President Francois Hollande scrap labor reform plans that have sparked months of protests marked by serious violence.

More than 2,000 police enforced strict security measures around the capital’s Place de la Bastille square to control the march, checking bags and turning away people with helmets or face-masks.

Police said 85 people were arrested as crowds converged on the marching zone.

The Socialist government originally banned the march but, facing a backlash within its own traditional support base, it backed down and allowed it.

But President Francois Hollande said his government would not retreat from labor legislation that will make hiring and firing easier in a contested attempt to tackle an unemployment rate that has been stuck at 10 percent for most of his time in office.

“We will take this bill to the finish line,” Hollande told reporters as thousands of protestors marched in summer heat along a short protest circuit patrolled by more than one riot police officer per meter (yard).

In a months-long stand-off, neither side wanted to cave in and lose face over a reform plan that opinion polls say is opposed by more than two in three French voters.

“A majority of French people say it (that they oppose the reform). The majority of unions say it, and there’s no majority in favor of it in the National Assembly (lower house of parliament),” said Philippe Martinez, leader of the hardline CGT labor union.

The march tested police forces already stretched under a state of emergency imposed since deadly attacks by Islamist militants in November and by fan violence at the Euro 2016 soccer tournament France is hosting.

The protests against a legislative bill that would loosen protection of worker rights pit Hollande’s unpopular government against the CGT, which is also fighting for a place as France’s most powerful union.

Hollande says the reform is key to hauling down double-digit unemployment, something he has promised if he is to run in next year’s presidential election.

CGT leader Martinez accused Prime Minister Manuel Valls of pinning the blame for the escalating disorder on his group. He condemned the rioters but said the government had inflamed passions as unions sought a deal on the labor reforms.

“Every time we try to calm things down the prime minister throws fuel on the flames again.”

Previous protests have been marred by hundreds of mostly masked youths engaging in running battles with police, hurling paving stones, smashing shops and plastering anti-capitalist slogans on buildings. Police have said some CGT members were in involved in the violence.

(Additional reporting by Jean-Baptise Vey and Simon Carraud; Editing by Richard Balmforth)

Belgian police alerted to IS Fighters en route to Europe

A Belgian police officer patrols near an apartment building during the reconstruction of the recent attacks, in the Brussels

By Philip Blenkinsop

BRUSSELS (Reuters) – Belgian police have received an anti-terror alert warning that a group of Islamic State fighters recently left Syria en route for Europe planning attacks in Belgium and France, a Belgian security source said on Wednesday.

The Belgian crisis center in charge of coordinating security responses said an alert had been circulated to all police forces in the country but there were no immediate plans to raise the security level to the maximum that would indicate an imminent threat of an attack.

A source at France’s Interior Ministry said Belgian authorities had transmitted a note to their French counterparts, who were currently reviewing the information in the alert. “We know the threat is very high,” the source said. “We’re reviewing all the elements (in the alert).”

Newspaper DH quoted the alert from Belgium’s anti-terror cell as saying the group “left Syria about a week and a half ago aiming to reach Europe via Turkey and Greece by boat without passports”, without giving an exact departure date.

The Belgian security source confirmed the contents of the alert. The Belgian federal police declined to comment and the French source could not confirm the content.

DH said the fighters were armed and aimed to split into two units, one aiming to carry out attacks in Belgium, the other in France. Potential targets in Belgium included a shopping center, a fast-food restaurant and a police station.

It mentioned no specific targets in France, which is hosting the Euro 2016 soccer championships in 10 stadiums across the country until July 10. Some 2.5 million spectators are expected to watch the 51 matches.

“We know there are fighters who are coming back (to Europe),” French government spokesman Stephane Le Foll told a news conference on Wednesday, adding he could not confirm the specific alert from Belgium.

The alert came two days after an attacker who pledged allegiance to Islamic State killed a French police commander and his partner at their home outside Paris, and four days after a gunman declaring loyalty to the Islamist militant group massacred 49 people in a gay nightclub in Orlando, Florida.

NO CHANGE IN SECURITY LEVEL

Belgian authorities raised the threat level for the capital Brussels to the maximum of four shortly after the Nov. 13 Paris attacks that killed 130 people and after suicide bombers killed 32 people at Brussels airport and on the city’s metro on March 22. The status was lowered on each occasion after a few days.

Belgian police have arrested a number of men of Moroccan origin suspected of direct or indirect involvement in the Paris and Brussels attacks.

A spokesman for the Belgian crisis center said that despite the latest alert, the body that sets the security level did not have any indication of an imminent threat.

“We are still at level three, which refers to a threat that is serious, and we have been at this level since November,” he said. “It is true that you should be careful in areas with large concentrations of people… Security has already been reinforced at all these targets. For now, there has not been a change.”

(Additional reporting by Chine Labbe, Elizabeth Pineau and Jean-Baptiste Vey in Paris,; Editing by Ingrid Melander and Gareth Jones)

France will see further terror attacks says Prime Minister

French Prime Minister Manuel Valls leaves the Elysee Palace following the weekly cabinet meeting in Paris

PARIS (Reuters) – France is doing all it can to prevent terrorist attacks but there will be more of them, Prime Minister Manuel Valls said on Wednesday following this week’s murder of a policeman and his wife by a Frenchman who pledged allegiance to Islamic State.

Valls said the intelligence and police services had foiled 15 attacks since 2013 and were waging a non-stop battle to track down would be terrorists.

“We need to tighten the net and give police and intelligence services all the means they need, but we will witness further attacks,” he said on France Inter radio.

“More innocents will lose their lives,” he said.

(Reporting By Brian Love; Editing by Andrew Callus)