US-German two-year bond yield spread hits lowest since March 2018
|The spread between the US and German two-year government bond yields is seen at 282 basis points at press time, the lowest level since March 2018.
The spread has narrowed more than 70 basis points in the EUR-positive manner since early November. Interestingly, investors first began turning up the heat on the Fed to dial back rate hikes in November.
The yield on the two-year bonds tends to track short-term interest rate expectations more closely than the longer duration bond yields, which are more sensitive to haven demand.
US-German two-year yield spread
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.