The yield on the German 10-year Bund has rebounded, surpassing the 2.5% mark, as data indicating persistent inflationary pressures in Germany and Spain bolstered the expectation that the European Central Bank may not conclude its tightening cycle in the near future. Investors will remain cautious ahead of crucial economic data scheduled for release later this week, including the Eurozone inflation reading on Thursday and the US jobs report on Friday. In the previous week, both ECB President Christine Lagarde and US Federal Reserve Chair Jerome Powell delivered moderately hawkish statements. However, these remarks failed to bring about changes to the existing rate outlook.
Historically, the Germany Government Bond 10Y reached an all time high of 9.13 in September of 1990. Germany Government Bond 10Y - data, forecasts, historical chart - was last updated on August of 2023.
The Germany Government Bond 10Y is expected to trade at 2.67 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate it to trade at 3.05 in 12 months time.