The yield on Greek 10-year Greek government bonds fell below that of the corresponding French bonds.

In the first midday hours, the yield of the Greek 10-year bond “broke” the 3% barrier and fluctuated at 2.99% (yesterday on HDAT it closed at 3.05%), while at the same time the French 10-year bond was trading at a yield of 3, 05%.

Earlier today the yields of the two government bonds fluctuated at the same level, a fact that Bloomberg pointed out in a report.

As pointed out in the relevant report “Greek Bonds: For the first time in history they have the same performance as French”.

The rise in French bond yields was attributed to investor concerns that Prime Minister Michel Barnier may struggle to pass a budget for next year and ultimately stay in power.

“We could see events that would cause much more significant impacts,” said Nicolas Simar, senior equity fund manager at Goldman Sachs Asset Management. “It’s very, very hard to say we’ve bottomed out.” Investors are betting that the volatile period is far from over. With far-right leader Marine Le Pen repeatedly threatening to call for a confidence vote, Finance Minister Antoine Armand said he wants to avoid a government overthrow by opposition parties in the coming weeks, according to a Bloomberg report.

The report concludes by predicting that further moves will depend on Le Pen’s responses to the budget bills in the coming days, while M. Barnier said the country would face a “storm” in financial markets if lawmakers rejected the proposals and voted against it.

Finally, it is recalled that the rating agency S&P Global Ratings is going to update its rating for France on Friday. Both Fitch Ratings and Moody’s Ratings gave France a negative outlook last month, citing deteriorating public finances and political challenges to curb ballooning budget deficits.