German 10-Year Yield Tops 3.5% as Global Bond Sell-Off Drives US 10-Year Above 4.9%
Updated
Updated · CNBC · Sep 11
German 10-Year Yield Tops 3.5% as Global Bond Sell-Off Drives US 10-Year Above 4.9%
3 articles · Updated · CNBC · Sep 11
Summary
Germany’s 10-year bond yield crossed 3.5% for the first time since April 2011, while the U.S. 10-year held above 4.9% after breaking that level on Thursday.
Brent crude stayed near $105 a barrel and European gas prices hit their highest since 2022, reinforcing stagflation fears as investors priced in weaker growth and stickier inflation.
Japan’s 10-year yield rose 6 basis points, Australia’s 12 and South Korea’s 8, showing the sell-off had spread across Asia even as U.K. borrowing costs eased after July growth beat forecasts.
Deutsche Bank cited impaired Strait of Hormuz shipping, Red Sea disruptions, lower Saudi output and hawkish ECB signals, while Germany’s central bank warned higher energy costs could force mildly restrictive rates.
France cut its 2026 growth forecast to 0.4% from 0.7%, underscoring how the energy shock is feeding into a broader outlook of slower growth, higher inflation and heavier debt pressure.