Federated Hermes: French Bond Selloff Offers Tactical Entry, Long-Term Risks Persist

Cointime reports: Federated Hermes portfolio manager John Sidawi said on Nov. 6 that the recent selloff in French government bonds has created selective tactical investment opportunities as prices fell and crowded positioning unwound. He cautioned that cheaper prices do not make the asset attractive, and the firm remains cautious on France’s structural outlook, citing large fiscal deficits, rising debt, political resistance to reform and higher borrowing costs that could further weaken public finances.