LONDON: Euro zone bond yields were little changed today and traded at around their highest since mid-November, as investors face an uncertain monetary policy and borrowing outlook for 2025.
Germany’s 10-year bond yield, the benchmark for the euro zone bloc, rose 0.5 basis points (bps) to 2.4%, around its highest in six weeks. Yields move inversely to prices.
Italy’s 10-year yield was 1.2 bps higher at 3.55%, and the gap between Italian and German bond yields held at 114 bps.
The spread between US 10-year Treasury and German bond yields narrowed 1.8 basis points to 221 bps.
Germany’s two-year bond yield, which is more sensitive to European Central Bank (ECB) rate expectations, was little changed at 2.1%, around its highest since Nov 22.