2026.04.0908:28:47UTC+00France’s OAT Yield Rises on Ceasefire, Oil Surge

France’s 10-year OAT yield climbed back to 3.64% on Thursday, partially reversing a 21-basis-point drop in the previous session. The rebound came amid growing doubts over the durability of the US-Iran ceasefire, which pushed oil prices higher and reignited inflation concerns. These fears intensified after Israel carried out its deadliest airstrikes in Lebanon to date, killing hundreds and prompting threats of retaliation from Iran. Tehran ruled out further negotiations with the United States, while the continued blockade of the Strait of Hormuz kept pressure on the already fragile truce. Adding to the uncertainty, US President Donald Trump vowed to keep American forces positioned near Iran until a “real agreement” is reached. In response, markets recalibrated their outlook, moving to price in a tighter ECB stance, with at least two rate hikes now expected by the end of 2026.