Bonds
French Risk Gauge Hits Seven-Month High as Political Fears Grow
The National Assembly and the Eiffel Tower in Paris.
Photographer: Nathan Laine/BloombergFrance’s benchmark bond-yield premium over Germany closed at its highest since January in the latest sign of investor concern about the nation’s political outlook and troubled finances.
Borrowing costs for French 10-year debt rose two basis points to 3.52% on Wednesday. That increased the compensation investors demand to hold the bonds over their German peers to 82 basis points. The gap was just 65 basis points two weeks ago.