Italy 10-Year Bond Yield Tick Up

2025-09-11 14:01 By Luisa Carvalho 1 min. read

Italy’s 10-year government bond yield edged up to around 3.50%, following the widely expected ECB decision to keep rates unchanged and release updated forecasts.

The move reflected a careful balance of strong economic growth, low unemployment, ongoing inflation, and trade-related uncertainties.

Meanwhile, traders interpreted President Lagarde’s remarks on balanced growth risks and the end of disinflation as signaling the likely conclusion of the rate-cutting cycle.

Eurozone GDP is now expected to expand 1.2% in 2025, slowing to 1.0% in 2026, with 2027 growth at 1.3%.

Headline inflation forecasts were slightly raised to 2.1% in 2025, 1.7% in 2026, and 1.9% in 2027.

In the US, higher jobless claims and an in-line inflation rate strengthened expectations of Fed rate cuts starting next week.



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