German Bund futures fall, stock futures rise on debt brake agreement
LONDON, March 4 (Reuters) - German government bond futures fell sharply on Tuesday, while stock futures rose and the euro rallied after two main German political parties agreed to debt brake reform and a 500 billion euro infrastructure fund.
Germany's Bund futures FGBLc1 turned sharply lower on the news, which came after the close of European markets. They were last down 1%.
German and European stock futures, which had fallen earlier in the day on U.S. tariff worries, rose. German Dax futures were last down 1.5% on the day after the benchmark Dax index closed down 3.5% .GDAXI.
The conservatives and the Social Democrats agreed to seek a loosening of Germany's debt brake to allow higher defence spending, and proposed the creation of a 500 billion euro ($529 billion) infrastructure fund, their leaders said.
The euro also rallied sharply on the news and was last up 1% at $1.0595 EUR=EBS. It was 0.4% higher against sterling EURGBP=.
Related Articles
All Eyes on August CPI: The Data That Could Trigger a Jumbo Fed Cut — Or Not
TradingKey - The key question now is whether the August CPI report, to be released on September 11, could push the Fed toward a more aggressive 50-basis-point cut — as it did in September 2024.
Oracle Q1 FY2026 Earnings: Cloud Surge and Record RPO Fuel AI Optimism
TradingKey - Oracle Corporation (NYSE: ORCL) posted mixed Q1 FY2026 results, with total revenue and adjusted EPS slightly below consensus amid a shift to cloud services, but cloud revenue beat expectations with robust 28% growth. A massive RPO backlog of $455 billion, up 359% YoY
U.S. August CPI Preview: Persistent Rise in Inflation, What Impact on Rate Cuts? And on US Stocks?
TradingKey - On 11 September 2025, the U.S. will publish August CPI data. Consensus forecasts indicate a 0.3% month-over-month increase for both headline CPI and core CPI. As a result, headline CPI year-over-year may climb to 2.9%, up from 2.7%
Unlocking Gold’s Next Leg: $4,000 in Reach by 2025？
TradingKey - Gold has kicked off a fresh uptrend in early September, breaking out of months of compression and reclaiming key territory. The decisive move above $3,500 establishes a new support base and puts higher objectives back on the table for the weeks ahead
2025 Hottest US IPO Week: Klarna, Gemini, Figure Set for “Triple Launch”
TradingKey - 5 companies are now pricing their U.S. initial public offerings (IPOs) for the week starting September 8, with a total expected fundraising exceeding $3 billion, making it the busiest IPO week of 2025. Investors are closely watching the debut performance of Klarna, Gemini, and Figure.
