Eurozone: Bond yields hit record levels



Yields on government bonds in the Eurozone hit a record high on Mar 1st, as investors worry about inflation in the region. 

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Yields on government bonds in the Eurozone hit a record high on Mar 1st, as investors worry about inflation in the region. 

Eurozone: Bond yields hit record levels

German two-year government bonds saw yields rise to their highest since October 2008 at 3.212%, while the 10-year benchmark yield peaked at 2.723%, the highest since July 2011. This came as inflation data from German regions showed prices increasing in North-Rhine Westphalia and Bavaria, with Baden-Wurttemberg's inflation rate climbing to 8.7%. 

Additionally, the Italian two-year government bond yield rose to its highest since August 2012, at 3.753%. The country's 10-year government bond yield was at 4.544%, close to a two-month high of 4.575%. The rising yields reflects investor expectations that the European Central Bank will raise interest rates, as data suggests an increase in inflation in the eurozone.

Eurozone: Bond yields hit record levels

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