German 10-Year Bund Yield Hits Highest Since 2009 at 3.538%

The notable signal is the curve: a 2s/10s spread near 28 basis points points to a steeper term premium rather than a repricing of near-term policy, since the front end barely moved and even slipped. That long-end pressure is a euro-area story, given the synchronized rise in French, Italian, Spanish and Greek yields — the periphery is tracking the Bund rather than decoupling. Whether the term premium keeps widening without a shift at the front end is the open question for euro duration and cross-market spreads.