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Caviar and cotton candy on the menu for Hollande

French President François Hollande will tuck into Illinois caviar, Colorado rib eye beef and all-American cotton candy at a lavish White House state dinner Tuesday - but he'd better rug up for chilly weather.

Caviar and cotton candy on the menu for Hollande
Photographers snap pics of the place settings for the upcoming State Dinner in honor of François Hollande are displayed in the State Dining Room of the White House. Photo: Mandel Ngan/AFP

Forecasters are calling for sub-freezing temperatures when President Barack Obama entertains his French counterpart under a marquee on the South Lawn of the White House, with around 350 guests expected to attend.

The menu, disclosed on Monday by White House officials, opens with American osetra caviar "farmed from the estuaries of Illinois" paired with Pennsylvania quail eggs and a dozen varieties of American potatoes.

After a "Winter Garden Salad" inspired by First Lady Michelle Obama's personal vegetable plot, Hollande will sample dry-aged rib eye beef "sourced from a family-owned farm in Greeley, Colorado."

Dessert will feature a chocolate malted cake "presented in a geometric form" created with bittersweet chocolate from Obama's native Hawaii, topped with vanilla ice cream from Pennsylvania.

To wash it all down, White House chefs have selected wines from California and Washington state, along with a white Chardonnay from Monticello, Virginia, the home of francophile founding father Thomas Jefferson, which Hollande toured with Obama on Monday.

After dinner, guests will be able to sample Vermont maple-syrup fudge, lavender shortbread cookies and "cotton candy dusted with orange zest".

Entertainment will be provided by nine-time Grammy winner Mary J. Blige.

Hollande's state visit has been designed to underscore historic ties and a burgeoning security relationship between the United States and France, its ally since the War of Independence.

But it triggered a flurry of protocol confusion in Washington after he broke up with longtime partner and de facto French first lady Valérie Trierweiler following revelations of an affair with actress Julie Gayet.

The Washington Post's widely-read Capital Weather Gang blog is calling for temperatures Tuesday in the upper 20s to near 30 Fahrenheit — around minus five to minus one Celsius — under partly sunny skies, ahead of a possible snowstorm Wednesday.

Hollande, whose approval rating is the lowest of any modern French leader, is under intense pressure to give a boost to his country's ailing economy and find ways to create jobs.

To that end, he will head from Washington to California on Wednesday to meet with tech leaders in Silicon Valley.

The visit is Hollande's second to the United States since taking office, after a meeting in the Oval Office with Obama during a G8 and NATO summit in April 2012, shortly after his election.

It is also the seventh state or official visit hosted by the Obama administration since it took office in January 2009

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BANKING

US hits French banking giant BNP with $246 million fine

US regulators have fined French banking giant BNP Paribas $246 million for the bad behaviour of its traders.

US hits French banking giant BNP with $246 million fine
Photo: AFP

US regulators on Monday fined French banking giant BNP Paribas $246 million for poor oversight of its foreign exchange traders who manipulated trading prices.

The move came six months after the Federal Reserve permanently barred former BNP trader Jason Katz from the banking industry, for manipulating foreign exchange prices.

“The firm failed to detect and address that its traders used electronic chatrooms to communicate with competitors about their trading positions,” the Fed said in a statement.

“The Board's order requires BNP Paribas to improve its senior management oversight and controls relating to the firm's FX trading,” the statement said.

BNP said the misconduct occurred between 2007 and 2013 the company has taken steps to strengthen oversight.

“BNP Paribas deeply regrets the past misconduct which was a clear breach of the high standards on which the Group operates,” the company said in a statement.

The Fed also blocked BNP from ever re-hiring any of the former employees involved the incidents, the central bank said.

New York State's Department of Financial Services in May fined BNP $350 million for the same case, accusing traders of “collusive activity” to manipulate currency prices.

The fine also follows the Fed decision in April to fine Germany's Deutsche Bank more than $150 million for similar “unsafe and unsound” foreign exchange trading practices.