France’s 10-Year OAT Yields Near Recent Highs
2026-01-20 12:05
By
Dongting Liu
1 min. read
France’s 10-year OAT yield climbed toward 3.6%, approaching its highest level since January 6, as investors navigated a complex mix of geopolitical and domestic developments.
Rising Japanese government bond yields added global market pressure, while US President Donald Trump continued to escalate tensions over Greenland, threatening tariffs on European countries and hinting at possible military action.
He also warned of 200% tariffs on French wine and champagne after President Macron declined to join the so-called “Global Peace Committee.” Domestically, French Prime Minister Sébastien Lecornu announced he will invoke Article 49.3 of the constitution to push the 2026 budget through without a parliamentary vote, claiming sufficient support to withstand any potential no-confidence motion.
Meanwhile, Japan’s snap election announcement in February by Prime Minister Sanae Takaichi further shook market confidence in the country’s fiscal outlook