German bond yields soar to 18-year high as energy storm sweeps across European markets

Bitget

News

智通财经2026/09/09 10:01

Show original

Bitget offers one-stop trading for cryptocurrencies, stocks, and gold. Trade now!

A welcome pack worth 6200 USDT for new users! Sign up now!

On Tuesday, Germany's 5-year government bond yield reached 3.14%, setting a new record high since 2008. The intraday real yield rose by about 5 basis points, while the energy price-based model only pushed it up by about 2.5 basis points. The gap between the two reflects that the market is factoring in an additional risk premium.
Brent crude oil futures broke above $100 per barrel in early trading and continued to climb, becoming the main driving force behind this surge in yields. In contrast, the increase in Dutch TTF natural gas futures was relatively moderate and did not fully follow the pace of oil price fluctuations.
This yield model consists of four times the front-end Dutch gas futures, two times the front-end Brent crude futures, and one time the Citi Eurozone Economic Surprise Index. The model's increase was far lower than the actual yield, indicating that escalating geopolitical tensions are pushing up sovereign bond financing costs through non-energy channels.
The transmission effect from energy markets and risk-aversion sentiment are interwoven, prompting investors to reprice the risk of stagflation in Europe. The next focus is whether the rise in yields will trigger a reassessment of debt servicing pressures in Southern European countries and whether the European Central Bank will send a clearer signal on spread management.

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

Understand the market, then trade.

Bitget offers one-stop trading for cryptocurrencies, stocks, and gold.

Trade now！

German bond yields soar to 18-year high as energy storm sweeps across European markets

You may also like

Crypto prices