French Government-Bond Yields Rise, Spread Widens as Treasury Yields Fall

French government bonds faced renewed selling pressure early Thursday, pushing the spread between 10-year French and German yields to the highest level since 2011. LSEG data showed the 10-year French OAT versus the German Bund yield spread widening to 164 basis points. The move followed a broader decline in Treasury yields, which helped drive the relative pressure on French paper. The article notes that the 10-year French yield itself fell as well, but the key development was the widening gap versus Germany, signaling increased market concern over France’s sovereign risk premium.