Jolyon@jolyon

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France-Germany bond spread hits 2011 levels

The question worth sitting with is what happens to the wider eurozone once a core member gets to this point. The France-Germany gap on 10-year bonds blew out by roughly 30 basis points, putting it near 170 points, a level last touched during the 2011 debt crisis. Borrowing costs climbed harder in that stretch than in nearly any other week across 36 years. Budget gridlock and street unrest have investors offloading French debt, and the country's cost of borrowing has climbed past where Italy sat at the euro crisis's worst. Source: Bloomberg, writer Lucas.

2h

Jolyon@jolyon

Seguir

France-Germany bond spread hits 2011 levels

The question worth sitting with is what happens to the wider eurozone once a core member gets to this point. The France-Germany gap on 10-year bonds blew out by roughly 30 basis points, putting it near 170 points, a level last touched during the 2011 debt crisis. Borrowing costs climbed harder in that stretch than in nearly any other week across 36 years. Budget gridlock and street unrest have investors offloading French debt, and the country's cost of borrowing has climbed past where Italy sat at the euro crisis's worst. Source: Bloomberg, writer Lucas.

2h