The yield spread between French and German government bonds may not further widen, but it could remain at a high level.

Jin10 data August 28 news, the interest rate strategists of ING Group said in a report that the France-Germany government bond yield spread may remain high even if it does not expand further. The 10-year France-Germany government bond yield spread rose to 82 basis points on Wednesday, the highest level since January. Due to the prospects of a confidence vote, the yield spread between French and German government bonds has significantly widened, with the risk balance leaning towards further expansion. Although the increase is relatively controllable, it also highlights that if political tensions escalate, the upside risk for French government bonds will increase.