Meanwhile in markets, long end Bund and Treasury yields remain near last week’s lows (that is, they continue to trade range-bound), while equities on both sides of the Atlantic continue to loiter near post-pandemic if not all-time highs. In other words, investors still aren’t too worried about high inflation readings eroding the real value of bonds and profit margins.The 10y Bund yield has erased most of its recent increases as punters ease back on ECB-rate hike bets and as Europe grapples with a new wave of the Coronavirus and resulting restrictions (see further down below).

 

For the full report, click here