Government bond supply in the eurozone is expected to rise ahead of the European Central Bank policy meeting, as Spain and France proceed with bond auctions. Spain plans to issue between €5.5 billion and €6.75 billion in nominal and inflation-linked bonds maturing from 2029 to 2035, while France will auction €11.5 billion to €13.5 billion in nominal and green bonds with maturities ranging from 2035 to 2049. Year-to-date demand for eurozone government bonds has remained robust, particularly for syndicated issuances.

Analysts at Citi, Arnaud Marès and Giada Giani, noted in a report: "Given the latest data confirming the ECB is in a 'comfortable position,' there is clearly no reason to expect any near-term adjustments to monetary policy or communication strategy."