1249 GMT - The eurozone government bond space is lacking impetus, with tight yield spreads and low volatility, Societe Generale rates strategists say in a note. As a result, investors are taking advantage of the carry and looking for signals in this low-noise market, they say. Seasonal factors could lead to some underperformance in periphery bonds, "but we don't expect it to last long." Otherwise, politics has historically been a source of volatility for Italian government bonds, or BTPs, which is why the March Italian referendum is drawing attention, they say. Italy plans a constitutional referendum on the reform of the judicial system next month. "Overall, we do not expect a political shock, and any market reaction should be viewed as short-term noise." (emese.bartha@wsj.com)

(END) Dow Jones Newswires

February 13, 2026 07:49 ET (12:49 GMT)

Copyright (c) 2026 Dow Jones & Company, Inc.