I guess I surprised by the confidence in France.

Spain’s five-year borrowing costs hit new euro-era highs at an auction on Thursday while France paid less than 1 percent for similar bonds as investors increasingly marginalise southern economies from what they see as the euro zone’s safer core.

Spain is struggling to convince investors it can control its finances and meet strict deficit guidelines by slashing spending and hiking taxes while also dragging its economy out of a prolonged recession.

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