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Euro zone bond yields hit two-week high, inflation back in focus
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Euro zone bond yields hit two-week high, inflation back in focus
Jun 27, 2024 12:06 AM

LONDON, June 27 (Reuters) - Euro zone government bond

yields rose to their highest levels in two weeks on Thursday as

investors waited for inflation data from the United States and

some of the bloc's countries on Friday.

Germany's 10-year bond yield, the benchmark for

the euro zone, rose to 2.471% in early trading, the highest

since June 14. It last stood 1 basis point (bp) higher at

2.463%.

Stronger-than-expected inflation prints from Australia and

Canada this week have reminded markets that the battle against

price rises is ongoing.

France's 10-year bond yield rose to 3.24% in

early trading, the highest since June 12. Italy's 10-year yield

climbed to 4.02%, also the highest since June 12.

The risk premium investors demand to hold French debt

remained within striking distance of a seven-year high, hit

almost two weeks ago as markets worried about the risk of

far-right or far-left parties winning upcoming parliamentary

elections.

The so-called spread between French and German 10-year

yields was at 77 bps, near the more than 80 bp

level hit on June 14.

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