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Euro zone bond yields fall as U.S. tariffs take effect

ReutersMar 4, 2025 7:56 AM

LONDON, March 4 (Reuters) - Euro zone bond yields fell in early trading on Tuesday as traders reacted to U.S. President Donald Trump's new 25% tariffs on imports from Mexico and Canada taking effect and duties on Chinese goods doubling.

Monday saw a sharp rise in longer-dated yields triggered by expectations of a rise in European defence spending.

Germany's 10-year bond yield DE10YT=RR, the euro zone's benchmark, fell 5 basis points (bps) to 2.437%.

Germany's 2-year bond yield DE10YT=RR fell 6 basis points (bps) to 2.01%.

The yield on the 30-year bond DE30YT=RR, which on Monday rose nearly 12 bps, was last down 2 bps at 2.781%.

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