Italy 10-Year BTP Yield Holds at 1.5-Week High
2025-10-24 14:46
By
Dongting Liu
1 min. read
Yields on Italy’s 10-year BTPs hovered around 3.4%, maintaining a near two-week high as markets digested stronger-than-expected eurozone economic data.
The region’s PMI climbed to its highest since May 2024, driven by expanding services activity and manufacturing returning to the neutral 50 mark.
This prompted investors to slightly scale back expectations for ECB easing next year.
In the US, softer-than-expected inflation readings further bolstered bets on a Federal Reserve rate cut next week.
On the domestic front, Italy’s cabinet approved the 2026 budget earlier this month, outlining €18.7 billion in tax cuts and support measures.
The plan, now heading for parliamentary debate and year-end approval, targets a public deficit of 2.8% of GDP, in line with the EU’s 3% fiscal ceiling.