French-German 10-year yield spread widens to 100 basis points for first time since eurozone debt crisis

The gap between what France and Germany pay to borrow money for a decade just hit a level not seen since the eurozone was genuinely wondering whether it would survive. The OAT-Bund spread, the difference between French and German 10-year government bond yields, has widened to 100 basis points, a threshold that carries serious psychological weight in European fixed income markets. The numbers behind the nervousness As of September 18, the spread stood at 97.9 basis points, with French 10-year yields climbing to approximately 4.48% while German Bund yields sat around 3.50%. French 10-year yields have pushed past 4.5% for the first time since 2008, a milestone that would have seemed improbable just a few years ago when yields across Europe were flirting with zero or even negative territory. Back in April 2026, the spread hovered around 60 basis points. The historical peak of the OAT-Bund spread during the eurozone sovereign debt crisis hit approximately 190 basis points in late 2011. So the current level is roughly halfway between normal and full-blown crisis. Why France is getting the cold shoulder French public debt has surpassed 117% of GDP, a figure that puts it well above the eur...