Updated on
Summary France's government has sold short-term bonds at negative interest rates for the first time.
Despite the dropping rates, Frances economic outlook is stagnant. President Francois Hollande said Monday that growth in the first half of this year is expected to be nil.Yields, or borrowing rates, have been falling on French medium and long-term bonds in auctions over the past couple of months, as investors flock to the perceived safety of Europes larger economies.In a sale Monday, the treasury sold three-month bonds at -0.005 percent, and six-month bonds at -0.006 percent. The treasury agency says its the first time they have registered negative yields.
