Euro zone government bond yields extended gains Thursday afternoon, shortly after the European Central Bank announced its first interest rate cut in five years. Germany's 10-year bond yield, seen as the euro area benchmark, was up 6 basis points to 2.557% at 3:12 p.m. London time. The...
The Italian 10-year bond yield topped 4 percent on Tuesday, reviving concerns about the sustainability of debts in the euro area. "Based on this assessment, the Governing Council decided that it will apply flexibility in reinvesting redemptions coming due in the PEPP portfolio, with a view to...
Germany's 10-year bond yield, the benchmark for the euro zone bloc, rose 0.5 basis points to 2.23 per cent, after dropping 2 bps on Friday. Traders have been fully pricing 25 bps from the Fed in September for weeks and increased bets on 50 bps to 39 per cent from 24 ...
This paper employs event study methods to evaluate the effects of ECB's non-standard monetary policy program announcements on 10-year government bond yields of 11 euro area member states. Measurable effects of announcements arise with a one-day delay meaning that government bond markets take some ...
Between the end of May and the end of October, the 10-year Italian government bond yield rose 140 basis points, to 6.19%. In the same period, the average rate on new household mortgage rates rose only 45 basis points, to 3.54% (based on Bank of Italy data which is only available ...
(all in log-levels), as well as the level of the economic outlook, inflation and monetary policy topic tone indicators, the 3-month OIS rate, a 10-year GDP-weighted synthetic sovereign bond yield, and the USD/EUR exchange rate. In each model, we control for the interest rate and ...
Treasury yields rose to further erode a recent bond rally that some investors say was overdone in reflecting fears that the U.S. economy may soon enter a recession. The yield on 10-year Treasury notes rose 3.7 basis points to 3.521%. Euro zone bonds were little changed, w...
Following the upbeat PMI data releases from Germany and theEurozone, 10-year German government bond yield gained more than 3% and stabilized above 2.5%. The Financial Times reported that swap markets are pricing in a terminal ECB deposit rate, which is currently 2.5%, of 3.75% by...
Rome’s borrowing costs have risen sharply since the ECB started to increase interest rates last summer. The 10-year bond yield climbed above 4.6 per cent last week, almost quadruple the level of a year ago and 2.1 percentage points above the equivalent yield on German bonds. ...
The data seemed to strengthen investor bets that the ECB would start cutting rates in April. The euro fell 0.6 per cent against the dollar and Germany’s 10-year bond yield dipped slightly on Tuesday after the survey results were published. ...