French 10-Year OAT Yield Hits Fresh 18-Year High

2026-09-24 10:25 By Joana Ferreira 1 min. read

France’s 10-year OAT yield rose to a new 18-year high of 4.7%, as elevated oil prices and stronger economic data reinforced expectations of further monetary tightening by the European Central Bank.

France remains under particular scrutiny as it heads towards the 2027 election with a substantial primary deficit and heightened budget risks amid a fragmented parliament.

Brent crude climbed as heightened Middle East tensions clouded prospects for a diplomatic resolution to the US-Iran war.

Meanwhile, data released Wednesday showed eurozone private-sector activity expanding at its fastest pace in nearly three and a half years, while French output grew for the first time in 10 months.

Money markets are now pricing in at least one 25-basis-point ECB rate hike by year-end, with around a 40% probability of a second.

In the US, investors have also increased bets on further Federal Reserve rate hikes following hawkish comments from policymakers and stronger-than-expected PMI data.



News Stream
French 10-Year OAT Yield Hits Fresh 18-Year High
France’s 10-year OAT yield rose to a new 18-year high of 4.7%, as elevated oil prices and stronger economic data reinforced expectations of further monetary tightening by the European Central Bank. France remains under particular scrutiny as it heads towards the 2027 election with a substantial primary deficit and heightened budget risks amid a fragmented parliament. Brent crude climbed as heightened Middle East tensions clouded prospects for a diplomatic resolution to the US-Iran war. Meanwhile, data released Wednesday showed eurozone private-sector activity expanding at its fastest pace in nearly three and a half years, while French output grew for the first time in 10 months. Money markets are now pricing in at least one 25-basis-point ECB rate hike by year-end, with around a 40% probability of a second. In the US, investors have also increased bets on further Federal Reserve rate hikes following hawkish comments from policymakers and stronger-than-expected PMI data.
2026-09-24
French OAT Yields Surge to 18-Year High
France’s 10-year OAT yield jumped to 4.6%, its highest level since July 2008, as oil prices rebounded amid continued uncertainty surrounding US-Iran talks and investors digested stronger-than-expected PMI data. Eurozone private-sector activity expanded in September at its fastest pace in nearly three and a half years, reinforcing expectations that the European Central Bank could raise interest rates further this year. ECB official Joachim Nagel said rising oil prices were becoming increasingly important for monetary policy, while Chief Economist Philip Lane warned that another energy-price surge could keep inflation elevated for longer. In the US, hawkish Fed comments and strong PMI data also lifted expectations for further rate hikes. Meanwhile, concerns over France’s public finances continued to weigh on sentiment, as the government struggles to rein in spending. The budget deficit is now expected to widen to 5.4% of GDP this year, up from 5.1% in 2025.
2026-09-23
France 10Y Bond Yield Hits 18-year High
France 10 Year Government Bond Yield increased to 4.59%, the highest since July 2008. Over the past 4 weeks, France 10Y Bond Yield gained 45.18 basis points, and in the last 12 months, it increased 100.85 basis points.
2026-09-23