German bonds: Yield rises to one-month high
Flag of the Federal Republic of Germany. pixabay.com
FRANKFURT (dpa-AFX) – German government bonds came under further pressure on Wednesday. A mixture of friendly stock markets and rising inflation expectations was cited as the reason on the market. The trend-setting futures contract, the Euro Bund Future, fell at noon
Market participants referred to the good mood on the stock exchanges as the reason for the lower demand for safe investments. In addition, there were higher inflation expectations, which have recently been fueled primarily by rising natural gas prices. “Just in time for the beginning of winter, Russia stopped its gas delivery to Germany via the Yamal pipeline,” said Dekabank analysts. Most recently, the pumping direction was even reversed from Germany to Poland.
The development pushed the European natural gas prices up sharply on Tuesday. Higher raw material prices are often quickly reflected in market participants’ higher inflation expectations, which usually results in higher capital market interest rates. Inflation is already unusually high. The main reasons are corona-related bottlenecks in world trade, which are unlikely to go away anytime soon, and significantly increased prices for various raw materials.
Only a few economic data are on the program for the middle of the week. In the USA, growth figures are published for the summer quarter, but this is only a third estimate. Basically, it is already known that the US economy lost significant momentum in the summer. No decisive data is expected from the euro zone./bgf/jsl/jha/
Subscribe to more news about Deutsche Post shares free of charge
ARIVA.DE publishes analyzes, columns and news from various sources in this section. ARIVA.DE AG is not responsible for content that has been recognized by third parties in the “News” area of this website and does not adopt it as its own. This content can be identified in particular by a corresponding “from” mark below the article heading and / or by the link “To read the full article, please click here.”; The named third party is solely responsible for this content.
Other users were also interested in this article: