German Spending Plan Fuels Bond Market Trade

Reported about 7 hours ago

The bond market is experiencing renewed momentum in Europe, particularly due to Germany's announced plans to invest heavily in defense and infrastructure. This has led to a significant sell-off in long-term German bonds, prompting investors to bet on a steepening yield curve where long-term securities underperform shorter ones. As government spending ramps up, analysts predict higher returns on long-term debt could prevail, though opinions differ on how far yields will rise.

Source: YAHOO

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