The German 10-year Bund yield rose to 2.3% as investors look to upcoming data releases for economic insight and monetary policy direction.
German 10-year Bund yield rose to 2.3%
Euro Area GDP is expected to grow by 0.2%, with France (0.4%) and Italy (0.3%) likely to expand while Germany could contract by 0.1%. Inflation in the Euro Area is forecasted to tick up to 1.9%, largely due to German figures (1.8%).
Market projections
Market projections suggest the ECB’s deposit rate could fall to 2% by mid-2025, with another rate cut anticipated in December, though the size remains uncertain. Meanwhile, investor sentiment improved after Israel’s strikes on Iran avoided critical infrastructure, easing immediate fears of escalation.
