From Seekingalpha · Desmond Lachman · · 40s
France's Bond Crisis Threatens Global Markets
France's government bond crisis could destabilize global financial markets.
In brief
France's government bond crisis could destabilize global financial markets. France's government bond yields have risen to 5% from 3.5% due to high public spending and debt levels. Originally reported by Seekingalpha.
France's Bond Crisis
France, Europe's second-largest economy, faces a government bond crisis as yields soar from 3.5% to 5% since January.
Public Spending and Debt Levels
Public spending reached 57% of GDP, with public debt-to-GDP ratio climbing from 80% in 2010 to nearly 120% today.
Economic Challenges
France's economy is hit by multiple shocks, making debt reduction unlikely through growth.
The one thing
France's government bond yields have risen to 5% from 3.5% due to high public spending and debt levels.
