Aussie bond yields rise as Draghi turns hawkish
|Australia government bonds are being hit hard after Draghi’s hawkish comments on Tuesday led to a spike in the German Bund yields and the treasury yields.
The benchmark 10-year Aussie government bond yield jumped seven basis points to 2.44%. The 2-year yield rose three basis points to 1.69%.
ECB’s Draghi said in a speech in Portugal that the deflationary forces have been replaced by reflationary ones, leading to a spike in the bund yields. Investors believe the central bank chief is prepping up markets for the QE taper.
German 10-year yield jumped more than 10 basis points to 0.372%. Meanwhile, the 10-year treasury yield rose 6 basis points to 2.20%.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.