The German bunds remained tad lower during European session Thursday ahead of the country’s consumer price inflation (CPI) for the month of February, scheduled to be released today by 13:00GMT.
Also, the country’s manufacturing PMI and unemployment change for the for similar month, due to be released on March 1 by 08:55GMT, will add further direction to the debt market.
Besides, Germany and eurozone’s consumer price inflation (CPI) for the month of February, scheduled to be released on February 28 and March 1 respectively will add further direction to the debt market.
The German 10-year bond yields, which move inversely to its price, remained 1/2 basis point higher at 0.159 percent, the yield on 30-year note hovered around 0.778 percent and the yield on short-term 2-year too traded flat at -0.546 percent by 10:20GMT.
Ahead of tomorrow’s flash February euro area inflation figures, the equivalent releases from the largest four member states are the main data focus in the region today. The French figures have already been released, which reported a softer-than-expected rise in the EU-harmonised rate this month, of 0.1ppt to 1.5 percent y/y, the report added.
Within the national CPI breakdown, food price inflation picked up in February, as did the annual increase in energy prices. But services inflation edged lower and the decline in prices of manufactured goods was a touch steeper (-0.5 percent y/y). So, when the final figures are published next month, these are likely to show that core inflation edged lower in February, Daiwa Capital Markets reported.
Germany’s CPI figures are expected to show that the EU-harmonised CPI rate moved sideways this month at 1.7 percent y/y. However, like in France and Spain, the equivalent Italian rate is expected to have risen from 0.9 percent y/y previously.
Meanwhile, the German DAX slipped 0.11 percent to 11,473.13 by 10:55GMT, while at 10:00GMT, the FxWirePro's Hourly Euro Strength Index remained slightly bullish at 76.58 (higher than +75 represents bullish trend). For more details, visit http://www.fxwirepro.com/currencyindex


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