Investors bottom-fish Eurozone bonds after France sell-off; crisis fears overdone

Large asset managers are buying Eurozone bonds after a sharp sell-off triggered by French fiscal concerns, arguing that fears of a repeat of the Eurozone debt crisis are exaggerated. The move signals a contrarian bet on stabilization, though the sustainability of French debt and political risk remain key uncertainties. This matters because it could mark a turning point in market sentiment toward peripheral euro-area debt.