German Bonds Gain With Spending Package Vote in Rearview Mirror
Investors are now looking for clues on how fast lawmakers will implement Friedrich Merz’s plan to turbocharge spending.
Photographer: Krisztian Bocsi/BloombergThis article is for subscribers only.
German bonds led gains in the region on Wednesday as the approval of a landmark spending package provided some relief to investors, who are now turning their attention to how fast the measures will be implemented.
Benchmark 10-year yields fell as much as seven basis points to 2.75%, the lowest in two weeks, also boosted by global demand for safe assets. The rate reached 2.94% last week before paring the move as traders said the expected fiscal boost was widely priced in, and bonds were becoming attractive.