Bund Yields Hit 15-Year Highs as Oil Fuels Inflation Concerns

2026-09-08 07:16 By Joana Ferreira 1 min. read

Germany’s 10-year Bund yield rose to 3.4%, touching its highest level since April 2011, as surging energy prices heightened inflation concerns ahead of this week’s European Central Bank meeting.

Brent crude neared $100 a barrel, while European natural gas prices climbed to their highest level since late 2022 amid renewed tensions in the Middle East and reports that Iran and Oman were nearing an agreement to manage shipping through the Strait of Hormuz.

Higher energy prices have intensified a global bond selloff, while persistent inflation pressures and resilient economic growth are keeping central banks under pressure to maintain a restrictive policy stance.

The ECB is widely expected to raise interest rates on Thursday, with markets almost fully pricing in another hike by year-end.

In the US, investors are awaiting key inflation data later this week, after Friday’s strong jobs report lifted the probability of a Fed hike next week to nearly 60%.



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