FX.co ★ German Bund Yield Eases From Two-Week High

Germany's 10-year Bund yield decreased slightly to 2.87% from its recent two-week peak of 2.89%, as tensions between the United States and Europe showed signs of amelioration. President Donald Trump has announced a pause in the imposition of tariffs on goods from European nations in opposition to his proposal to assume control of Greenland. Furthermore, Trump revealed that a "framework for a future deal" had been reached following discussions with NATO Secretary-General Mark Rutte, although specific details were not disclosed. While this announcement did alleviate some market apprehensions, geopolitical uncertainties remain notably high. Meanwhile, Denmark has firmly rejected any negotiations on the transfer of control over Greenland, with Prime Minister Mette Frederiksen emphasizing that although dialogue on security and investment matters is welcome, the issue of sovereignty remains non-negotiable. Economically, indicators of a robust Eurozone economy and inflation rates close to target levels continue to bolster the expectation that the European Central Bank will likely maintain interest rates at their current levels for the foreseeable future.