12.09.202513:53:33UTC+00France 10-Year Bond Yield Rises 3.5% Ahead of Fitch Review

France's 10-year government bond yield increased to 3.5% as investors braced themselves for Fitch's pending sovereign rating review. The rating agency is anticipated to announce its decision post-European market closure, with the possibility of a downgrade that might reduce France's rating from AA- to A+. On the macroeconomic front, U.S. inflation figures aligned with forecasts, while initial jobless claims rose to their highest in nearly four years, strengthening predictions of a Federal Reserve rate cut in the upcoming week. In Europe, recent economic indicators point towards moderate growth with balanced risks, and the European Central Bank has indicated a conclusion to its cycle of rate cuts. Geopolitical tensions are also at the forefront. Notable developments include the U.S. urging the EU to impose tariffs on India and China, and Poland's downing of a Russian drone, contributing to increased market uncertainty.