FX.co ★ France 10-Year Bond Yield Holds at 3.56%

The yield on France’s 10-year government bond stabilized at approximately 3.56% due to cautious investor sentiment. This sentiment was influenced by Federal Reserve Chair Jerome Powell's reserved stance, providing no definitive direction on future interest rate trajectories. Market forecasts currently anticipate two additional reductions of 25 basis points each, slated for October and December of this year. On the domestic front, the French government has awarded a €4.5 billion ($5.3 billion) contract to TotalEnergies and RWE for the development of the country's largest offshore wind farm, with a 1.5-gigawatt capacity, expected to be operational by 2033. This announcement comes amidst a period of governmental transition. Meanwhile, in the realm of international politics, NATO has issued a warning that it will take "all necessary measures" for self-defense, following statements by Trump asserting that Ukraine is capable of regaining all territories held by Russia.