Once-Bitten German Bond Traders Keep Yields in a Narrow Range
- BlackRock says there's threat of `sharp spikes' in volatility
- Selloff from record-low yield `fresh in mind' at Nordea
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As China, Glencore Plc and the Federal Reserve upset everything from stocks to commodities, investors are keeping German bond yields relatively stable.
The reason lies in the first six months of this year, said Jan Von Gerich, chief strategist at Nordea Bank AB in Helsinki. The speed with which 10-year yields jumped from a record low back in April bruised investors, he said, making them reluctant to pile into the traditional haven.