Introduction
Germany has recently issued a new ten-year government bond, which brings the federal government six billion euros. This bond is particularly relevant for investors as it represents a safe investment opportunity in a stable economic environment.
Current Yield Development
The yield on ten-year German government bonds currently stands at approximately 2.69 percent (as of July 11, 2025). This marks a slight increase compared to previous days and the previous year. In comparison to the years before 2023, this is a relatively high value, as yields had previously been declining for a long time, having been around 6 percent in the mid-1990s.
Factors Influencing the Yield
Recent movements in the market have shown that German government bonds have been under pressure due to positive economic data, such as unexpectedly rising industrial production, which led to increasing yields. At the same time, US trade policy continues to influence market sentiment.
Safe Investment with Attractive Returns
This new ten-year federal bond offers investors a combination of safety from Germany’s creditworthiness and an attractive return in the current interest rate environment. The expected yield development is slightly below the current level at around 2.34 percent in twelve months.