French Bond Selloff Pushes Euro Zone Yields Higher
French government bond yields hit a 24-year high above 5 percent as a deepening fiscal deficit and civil unrest drive up borrowing costs. The market pressure has also spread to neighboring economies including Belgium and Italy, sparking investor concern.
Insights:
France's 10-year bond yields climbed above 5% on Thursday, pushing their premium over benchmark Germany Bunds to 180 bps. The selloff reflects a widening fiscal deficit and mounting civil unrest in Paris.
