0943 GMT - The recent fall in eurozone government bond yields and softer eurozone growth are contributing to a weaker euro in the near-term, MUFG Bank's Lee Hardman says. The eurozone's two-year yield has fallen 30 basis points after hitting a peak of 2.83% on June 18, he says. That is "a much bigger drop in yields than in the U.K. and U.S. rate markets over the same period." It comes as the rates market has become less confident that the European Central Bank will raise interest rates further this year, he says. The euro falls to a one-year low of 0.8548 pounds, according to LSEG. Against the dollar, the euro rises 0.3% to $1.1414 after hitting one-year low of $1.1324 last week. (renae.dyer@wsj.com)
(END) Dow Jones Newswires
July 02, 2026 05:43 ET (09:43 GMT)
Copyright (c) 2026 Dow Jones & Company, Inc.
Comments