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3 Jun 2015
German 10-year Bund yield takes out May highs
FXStreet (Mumbai) - The benchmark 10-year German yield has extended gains above the May highs to trade at 0.808%.
ECB to look through bond market volatility
The German Bunds were sold, thereby pushing the yield higher after the ECB President Mario Draghi said the bank would look through the bond market volatility and implement its QE program.
The yields received further support after Draghi said higher inflation and growth numbers could result in higher yields in the future. Consequently, the yield on the 10-year German Bund took out the May high of 0.796% to print a daily high of 0.808%.
German 10-yr yield Technical Levels
The immediate resistance is seen at 0.867% (Aug 2014 low), followed by another hurdle at 1.00%. On the flip side, a break below 0.796% could push the yield back to 0.68%.
ECB to look through bond market volatility
The German Bunds were sold, thereby pushing the yield higher after the ECB President Mario Draghi said the bank would look through the bond market volatility and implement its QE program.
The yields received further support after Draghi said higher inflation and growth numbers could result in higher yields in the future. Consequently, the yield on the 10-year German Bund took out the May high of 0.796% to print a daily high of 0.808%.
German 10-yr yield Technical Levels
The immediate resistance is seen at 0.867% (Aug 2014 low), followed by another hurdle at 1.00%. On the flip side, a break below 0.796% could push the yield back to 0.68%.