European government bonds traded mixed, with Germany’s 10-year Bund yield rising to 3.37% as safe-haven demand weakened, while France’s 10-year yield retreated below 5% as selling pressure eased following Moody’s decision to maintain the country’s sovereign credit rating. A modest decline in oil prices also supported European bonds, as investors turned their attention to upcoming policy decisions from the European Central Bank and the US Federal Reserve. The ECB is widely expected to hold interest rates steady amid slowing economic momentum, with investors looking for clues on its future policy path.
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