Eurozone government bond yields moved lower on Wednesday as oil and natural gas prices declined amid developments surrounding U.S.-Iran diplomacy. Germany's 10-year Bund yield, a benchmark for the euro area, fell to 3.448%, extending its decline from multi-month highs reached earlier in September. At the shorter end of the yield curve, Germany's two-year Schatz yield declined to 3.19%, as markets reassessed expectations for further interest-rate increases from the European Central Bank. European bond yields followed a similar move in U.S. Treasuries, where yields declined across maturities following comments from U.S. President Donald Trump indicating openness to talks with Iranian representatives at the United Nations General Assembly.
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