German bank: Eurozone government bond yields may continue to fall further before the Fed makes a decision.

Rainer Guntermann of German commercial bank stated in a report that as market focus shifts to the Wednesday Federal Reserve meeting, Eurozone government bond yields continue to decline and may further decrease. He said, "With the market paying more attention to the macro agenda, there is a chance for German government bonds and Eurozone government bond prices to rebound." It is expected that the Federal Reserve will keep interest rates unchanged this week, but with inflation slowing down, there may be further rate cuts in the future. German commercial bank predicts that the U.S. will resume rate cuts in March, earlier than the current market expectations. It is expected that Eurozone inflation will "significantly" decrease in the coming months, and bond issuance has already begun to slow down. However, there are risks of volatility from geopolitical issues, the appointment of the Federal Reserve chairman, and Japan-related matters. Data from the London Stock Exchange Group shows that the 10-year German government bond yield has dropped by 3.4 basis points to 2.867%.