French Borrowing Costs Overtake US Yields for First Time Since 2013

Key Facts

1French 10-year bond yields rose by nine basis points to 5.089% in early Thursday trading.

2France's 10-year borrowing costs rose above the equivalent for US Treasury bonds for the first time since 2013.

French 10-year bond yields rose by nine basis points to 5.089% in early trading on Thursday, October 22, 2026. AOL.co.uk reported that France's 10-year borrowing costs rose above the equivalent for US Treasury bonds for the first time since 2013, marking a significant shift in sovereign debt markets.

The surge is driven by political instability and the government's ongoing struggle to pass a federal budget amid widespread public protests. This fiscal turmoil pushed yields past the 5% threshold for the first time since 2002, even as French Business Confidence was reported at 105 on October 22, 2026, exceeding the forecast of 101.

Looking ahead, the French Services and Manufacturing PMI data are scheduled for release on October 23, 2026. These indicators will be closely monitored to assess the broader economic impact of the current budgetary deadlock.