Euro Zone Bond Yields Rise Amid US Court Ruling on Trump Tariffs

Government bond yields in the Euro zone climbed as investors moved towards riskier assets following a U.S. court decision blocking major tariffs by President Trump. The appeal by the Trump administration, retaining market unpredictability, resulted in slight yield increases, influenced by fiscal dynamics and interest rate expectations.


Devdiscourse News Desk | Updated: 29-05-2025 17:44 IST | Created: 29-05-2025 17:44 IST
Euro Zone Bond Yields Rise Amid US Court Ruling on Trump Tariffs
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Euro zone government bond yields experienced an upward move on Thursday as market participants opted for riskier investments following a U.S. court decision opposing President Donald Trump's extensive tariffs.

The Manhattan-based Court of International Trade's ruling, which argued Trump exceeded his authority, led to a notable shift in investment behavior, with investors withdrawing from safe havens like bonds, gold, and secure currencies, including the yen and Swiss franc.

The ruling's aftermath saw Germany's 10-year government bond yield, a key euro area benchmark, rise by 3.5 basis points, underscoring ongoing concerns over fiscal dynamics and debt levels in leading economies.

(With inputs from agencies.)

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