Italy's 10-year bond yield heads for biggest monthly drop since 2013

Italy's 10-year bond yield, impacted by euro zone inflation and the European Central Bank's rate cuts, is set for its biggest monthly fall since 2013. Germany's 10-year yield, the euro zone benchmark, has risen as investors take profits before the new year. The German 2-year bond yield, sensitive to ECB rate expectations, is on track for its best month since 2008. Investors anticipate significant rate cuts in 2024 and a high probability of the first cut in March. However, concerns over increased debt issuance and pressure on yields exist. https://ift.tt/OFjZzNX