Bonds
German 10-Year Bund Yield Climbs for 3rd Session

Germany’s 10-year Bund yield rose to 3.1384%, extending gains for a third session and moving further away from a three-week low of 3.10% hit on August 5 as a deal to reopen the Strait of Hormuz remained elusive, keeping oil prices elevated. Iran’s Foreign Minister said an agreement with Oman to establish a shipping route through the strait was “very close,” but cautioned that it would not immediately restore shipping flows. On the monetary policy front, the European Central Bank left interest rates unchanged in July following a 25bps increase in June, its first hike in three years, while expectations of a near-term Federal Reserve rate hike eased following weaker-than-expected employment data.


