Shocking stat of the day: $241 billion worth of French corporate bonds are now trading at lower yields than French government bonds. This figure is up +1,621% from just $14 billion at the start of 2026. This means ~38% of French high-grade corporate debt is now trading at lower yields than government bonds of similar maturity. The gap between corporate and government bond yields is widening as investor concerns about France's deteriorating fiscal situation weigh on government debt. As a result, internationally exposed companies such as L'Oreal, OR, and TotalEnergies, TTE, are increasingly viewed as safer alternatives to French government debt, unlike French banks, which remain more exposed to sovereign risk. This is in stark contrast to normal economic conditions, when government bonds are traditionally viewed as the safest part of the bond market. France's corporate bond market is increasingly being treated a safer bet than its government bonds.