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Laura Cooper
Trends
- 1French political deadlock sends debt costs soaring, euro slumps▼‘Lack of political will’ sends French debt costs soaring The euro sank to a 17-month low after government borrowing cost
French government borrowing costs have jumped sharply, pushing the euro to a 17-month low against other currencies. Investors are pricing in political risk ahead of France's upcoming elections, with Laura Cooper of Nuveen telling Reuters that markets fear none of the candidates will have the political will to tackle the country's budget deficit. The situation has raised borrowing costs across the eurozone, with France hit hardest as concerns grow over its debt sustainability.