French-German bond yield gap reportedly reaches 152 basis points
A market account cites Candriam’s Nicolas Forest, who warns that potential October ratings downgrades could add pressure.
TLDR
A market account reports that France’s 10-year yield premium over Germany widened to 152 basis points, reaching levels not seen since 2011. It cites Candriam’s Nicolas Forest, who warns France’s deficit could approach 6% of GDP and potential October ratings downgrades could add pressure. Separately, one commentator argues that political paralysis is the primary driver of French yields, worsened by the global picture.
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