Germany’s 10-Year Bund Yield Hits Highest Since January

2026-03-11 09:38 By Joana Ferreira 1 min. read

Germany’s 10-year Bund yield climbed back to 2.9%, its highest level since January 23, as investors increasingly priced in a more hawkish stance from the European Central Bank amid renewed inflation concerns.

Geopolitical tensions stemming from the Iran conflict have driven energy prices higher, reigniting inflation worries and prompting markets to reassess the outlook for monetary easing.

While oil prices have eased from peaks above $100 per barrel, the earlier surge has already significantly influenced rate expectations.

Money markets are now pricing in an interest rate hike from the ECB later this year, a marked shift from the modest likelihood of a rate cut seen prior to the conflict.

On Tuesday, Christine Lagarde reaffirmed that the central bank stands ready to take all necessary measures to keep inflation under control, despite the current energy price pressures.



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