French government bonds experienced a significant sell-off today, driving 10-year yields above 5%. This surge in yields pushed France's borrowing premium over Germany to its highest point since 2011. The 10-year French yield reached 5.11%, its highest level since 2002. Concurrently, the spread over German debt widened to 174 basis points. These market movements are attributed to concerns surrounding France's budget and social unrest. Specifically, parliamentary rejection of proposed spending cuts has jeopardized deficit reduction targets. The market had previously assumed less severe parliamentary pushback against budget measures than what is now occurring. Further parliamentary debates on pension indexation and healthcare spending are expected to intensify scrutiny. These fiscal challenges raise concerns about the government's ability to meet its deficit reduction goals. The situation evokes fears of a potential sovereign debt crisis within the Eurozone.