Paris: French President Nicolas Sarkozy returned home on Sunday from a two-week vacation in New England to face the most serious bump yet in his so-far smooth presidency - the fallout from the turbulence rocking worldwide financial markets.

Promise

Thursday marks Sarkozy's 100th day in office after his May election, and he has promised a whirlwind of activity at "la rentree" - the end of the traditional August vacation, when much of France returns home for school or work.

Sarkozy had lined up back-to-back meetings for today, on subjects from crime to immigration to the economy. Even on vacation in Lake Winnipesaukee in Wolfeboro, New Hampshire, the ever-active Sarkozy kept busy.

He joined US President George W. Bush for a casual get-together at the Bush family compound in Kennebunkport, Maine, getting whisked away for a speed boat ride.

He also jetted back to France to attend the funeral of Cardinal Jean-Marie Lustiger, and he issued nearly 20 statements while on holiday.

Since Sarkozy's May election, his popularity rating has held strong: A poll released on August 11 by Le Journal du Dimanche newspaper suggested that 64 per cent of the French were satisfied with his governance.

"For the moment, his state of grace is continuing," said Stephane Rozes, head of the CSA polling agency.

Nonetheless, "what is happening with the financial markets objectively reduces Nicolas Sarkozy's margin for manoeuvring."

The worldwide credit crunch sparked by subprime mortgage lending troubles in the United States hit while Sarkozy was on vacation.

Call for monitoring

Reacting to it last week, he urged the Group of Seven industrial countries to better monitor international financial markets.

On Thursday, France's CAC-40 stock index dropped to its lowest level this year.