France's 10-year bond yield rose to 5% on Wednesday, a 24-year high, signaling
investor concern about the country's fragile fiscal position. Global yields have
climbed this year after central banks tightened amid surging energy prices, but
France's borrowing costs have risen faster than most peers; the spread to the
10-year German bund is about 157 bps, near its widest since 2011. Markets say
French debt is under extra pressure as a weakened government seeks to pass a
deficit-cutting budget amid large-scale protests and a hotly contested election
next year.
