French Unrest Fuels Debt Crisis Fears: 10-Year Bond Yield Jumps 7bps, CAC 40 Dips 1%, Euro Falls
Social unrest, political instability, and mounting national debt weighed on French assets on Monday. The French 10-year bond yield jumped 7 basis points, remaining near its highest level in decades, while the Paris-listed CAC 40 index fell nearly 1% in early deals. The euro was down 0.15% against the U.S. dollar. Analysts warn that France faces a "very real risk" of its own sovereign debt crisis amid widening bond spreads and concerns over fiscal consolidation.
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