Germany Bund Yield Eases as Investors Eye Data and Fed Decision

2026-01-26 11:24 By Joana Ferreira 1 min. read

Germany’s 10-year Bund yield slipped to 2.87%, after peaking just above 2.9% on Friday, following last week’s turbulence in Japanese markets and heightened geopolitical tensions, particularly over Greenland.

Investor caution was reinforced by US President Donald Trump’s subsequent threat of a 100% tariff on Canadian goods.

Meanwhile, data showed German business morale remained flat in January, falling short of expectations for a modest improvement.

Investors are now awaiting a series of economic releases, including Germany’s flash January inflation, fourth-quarter GDP, and the Federal Reserve’s policy announcement on Wednesday, where rates are widely expected to remain unchanged.

Adding to the uncertainty, expectations are growing that a more dovish candidate to succeed Fed Chair Jerome Powell could be announced as early as this week.



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