{"id":427,"date":"2026-10-02T12:58:47","date_gmt":"2026-10-02T12:58:47","guid":{"rendered":"https:\/\/bugleblast.com\/?p=427"},"modified":"2026-10-02T12:58:47","modified_gmt":"2026-10-02T12:58:47","slug":"french-bond-selloff-euro-crisis-budget-cuts","status":"publish","type":"post","link":"https:\/\/bugleblast.com\/?p=427","title":{"rendered":"FRENCH BOND SELL-OFF \u2018REMINISCENT OF THE EURO CRISIS\u2019! | Paris floats \u20ac43B cuts \u2014 10-year yield hits 24-year high, FR\u2013DE spread widest since 2012"},"content":{"rendered":"<p>Europe\u2019s bond vigilantes just put France back on the euro-crisis mood board. French government borrowing costs spiked as Paris unveiled a cost-cutting 2027 budget \u2014 and strategists said the daily moves looked <strong>\u201creminiscent of the Euro crisis,\u201d<\/strong> <a href=\"https:\/\/www.euronews.com\/2026\/10\/02\/bonds-steady-as-french-borrowing-costs-hit-24-year-high-and-uk-30-year-yields-top-6\">Euronews<\/a> and <a href=\"https:\/\/www.theguardian.com\/business\/live\/2026\/oct\/02\/french-bond-sell-off-euro-crisis-cuts-tax-rises-eurozone-inflation-us-jobs-report-latest-news-updates\">The Guardian<\/a> reported Friday.<\/p>\n<p>France\u2019s <strong>10-year yield hit 4.96%<\/strong> on Thursday \u2014 its highest since July 2002 \u2014 before easing to about <strong>4.92%<\/strong> Friday morning. The France\u2013Germany spread blew out past <strong>140 basis points<\/strong>, the widest gap since <strong>2012<\/strong>, with Thursday\u2019s jump the biggest daily rise since March 2020, Deutsche Bank\u2019s Jim Reid told clients.<\/p>\n<p>Paris is seeking about <strong>\u20ac43 billion<\/strong> in new savings to cut the deficit from <strong>5.4% of GDP<\/strong> this year to <strong>5%<\/strong> next year. Public debt sits at a post-war record <strong>119% of GDP<\/strong>, and France plans to borrow a record <strong>\u20ac340 billion<\/strong> next year. Finance Minister Roland Lescure insisted France\u2019s signature is \u201csolid\u201d; the High Council of Public Finances called the 1% growth forecast optimistic and a return under the EU\u2019s 3% deficit cap by 2029 \u201cvery unlikely.\u201d<\/p>\n<p>Eurozone inflation jumped to <strong>3.8%<\/strong> in September \u2014 a three-year high \u2014 adding fuel to the rate-hike fear that lit the sell-off. Markets steadied Friday as oil slipped, but the message from the OATs pit was blunt: credibility is the collateral.<\/p>\n<p><strong>Sources:<\/strong> <a href=\"https:\/\/www.euronews.com\/2026\/10\/02\/bonds-steady-as-french-borrowing-costs-hit-24-year-high-and-uk-30-year-yields-top-6\">Euronews<\/a>; <a href=\"https:\/\/www.theguardian.com\/business\/live\/2026\/oct\/02\/french-bond-sell-off-euro-crisis-cuts-tax-rises-eurozone-inflation-us-jobs-report-latest-news-updates\">The Guardian<\/a>; <a href=\"https:\/\/www.france24.com\/en\/live-news\/20261001-france-unveils-cost-cutting-2027-budget-as-borrowing-costs-rise\">France 24 \/ AFP<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Paris floats \u20ac43B cuts \u2014 10-year yield hits 24-year high, FR\u2013DE spread widest since 2012<\/p>\n","protected":false},"author":1,"featured_media":426,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_post_was_ever_published":false},"categories":[1],"tags":[],"class_list":["post-427","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized"],"jetpack_sharing_enabled":true,"jetpack_featured_media_url":"https:\/\/bugleblast.com\/wp-content\/uploads\/2026\/10\/bb-french-bond-selloff-1002.jpg","_links":{"self":[{"href":"https:\/\/bugleblast.com\/index.php?rest_route=\/wp\/v2\/posts\/427","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/bugleblast.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bugleblast.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/bugleblast.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/bugleblast.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=427"}],"version-history":[{"count":0,"href":"https:\/\/bugleblast.com\/index.php?rest_route=\/wp\/v2\/posts\/427\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/bugleblast.com\/index.php?rest_route=\/wp\/v2\/media\/426"}],"wp:attachment":[{"href":"https:\/\/bugleblast.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=427"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bugleblast.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=427"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bugleblast.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=427"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}