German 10-Year Bund Yield Falls Further

2026-02-17 09:33 By Joana Ferreira 1 min. read

Germany’s 10-year Bund yield slipped below 2.75%, its lowest level since early December, marking a seventh consecutive session of declines as investors sought safety and weighed the prospect of another interest rate cut from the ECB later this year.

The move in Bunds has broadly mirrored global bond markets.

US 10-year Treasury yields fell after softer-than-expected inflation data on Friday and lingering concerns over potential AI-driven disruption.

In Japan, yields extended losses following Prime Minister Sanae Takaichi’s decisive election victory earlier this month.

In the UK, weaker labor market data reinforced expectations of additional rate cuts by the Bank of England this year.

Within the euro area, shifting expectations for ECB policy have also weighed on yields, with markets currently pricing in roughly a 40% chance of one more rate reduction before year-end.

Markets are now awaiting the release of minutes from the Fed on Wednesday for further clues on the policy outlook.



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