French bond yields jumped sharply on Thursday after Standard & Poor’s suggested on its website that it had downgraded the triple A credit rating of France in what the agency described as an error.
French 10-year bond yields leapt to 3.46 per cent, a 27 basis rise on the day, while the country’s extra cost to borrow over Germany rose to a euro-era record of 168bp, a 21bp jump on the day.
Standard & Poor’s was forced to put out a statement: “As a result of a technical error, a message was automatically disseminated today to some subscribers of S&P’s Global Credit Portal suggesting that France’s credit rating had been changed.”
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