Eurozone Bonds React Ahead of ECB Rate Decision

Eurozone bond yields have eased as markets anticipate a rate cut from the European Central Bank. Germany's 10-year bond yield decreased, influenced by calming inflation and expected ECB decisions. Meanwhile, Italy plans a budget to address EU concerns as it raises funds domestically.

Eurozone bond yields experienced a decline on Wednesday, leading up to an anticipated interest rate cut by the European Central Bank later this week.

Germany's 10-year bond yield fell slightly, reflecting a slowdown in bond price rally amid subsiding inflation worries. Markets are closely watching the ECB meeting, with rate cuts expected to support the economy.

Italy, facing EU budgetary concerns, plans to raise funds from domestic banks while Germany focuses on a 30-year debt auction. Elsewhere, UK's bond yield adjusted due to lower inflation data.

(With inputs from agencies.)