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The Subtle Shift: Why advanced-economy long-term sovereign bonds are repricing risk
In recent trading, European long-term government yields are climbing to multi-year highs, running counter to expectations of imminent rate cuts. The seeming contradiction has prompted a wave of technical explanations. Some point to seasonal issuance and a crowded September supply calendar; others highlight mechanical drivers such as Dutch pension fund reallocations that are reducing exposure to long-dated sovereign bonds. [...]