Sell German Bunds After Best Start in Six Years, Barclays Says

It’s time to go short German government debt, according to strategists at Barclays.

They recommend selling 10-year bonds following a 17 basis point decline in yields since the start of the year, their best performance over the period since 2020. Bunds are now the most expensive they’ve been relative to short-dated interest rates swaps since March 2025, according to Barclays’ analysis.