Eurozone Rates Seen Stuck in Cycle of Hope and Fear
Dow Jones
Jul 31
0601 GMT - Eurozone rates remain caught in an "endless cycle of hope and fear" with German Bunds suffering their worst July in more than two decades, rates strategists at Barclays write in a note. "Cheaper yield levels may make it easier for post-summer supply to be absorbed, but front-end rates and global factors remain firmly in the driving seat for now," they say. While "tariff-on, tariff-off" was a feature of 2025, "war-on, war-off" is the theme of 2026, they say. At 3.15% for the 10-year Bund, they are at the cheaper end of the range, and still being driven by the Middle East conflict and its impact on growth, inflation and consequently, monetary policy, they say.
At the request of the copyright holder, you need to log in to view this content
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.