The 10 year German Bond yieds have been falling since March from 2.95% to current levels just above 2.4%. The falling yields are mainly due to the ECB intrest rate cuts, which lowered its benchmark rate by a quarter percentage point to 2.25% on April 17 for the seventh time. Bond yields fall when interest rates fall; they have to, since bonds reflect the cost of borrowing money. They also fall when there is flight to safety from the stock market to the bond market when investors are looking for moderate returns. Falling yields in the 10 year German note shows that investors are buying bonds for moderate returns and selling the German stocks.
Technically, yesterday the DAX daily candle closed as a long legged doji which shows there's indecision at this level. Further price action at this zone should confirm weakness at this level, probably a shooting star with high volume.
Technically, yesterday the DAX daily candle closed as a long legged doji which shows there's indecision at this level. Further price action at this zone should confirm weakness at this level, probably a shooting star with high volume.
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.