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Euro zone bond yields rise after hawkish jolt from ECB

Bond yields in the single-currency area have fallen sharply since the start of the year, as lower global energy prices and a resulting slowdown in inflation have cheered investors and spurred bets that central banks may soon slow the pace of their interest rate increases. ECB governing council member Klaas Knot pushed back against those expectations on Sunday, saying he expects the central bank's main interest rate to rise 50 basis points (bps) in both February and March and to keep climbing after that. ....

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Germany risks reprising sick man status on Russia, China ties

FRANKFURT (BLOOMBERG) Germany's economy might again become the "sick man of Europe," slipping back into a role from two decades ago as policies that kept factories humming turn sour.
. Read more at straitstimes.com. ....

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End of Negative ECB Rates This Year Is Latest Bet for Traders

(Bloomberg) Traders are accelerating bets on European Central Bank policy tightening, now seeing the key rate hitting zero by the end of this year. 

Money markets have priced in 50 basis points of tightening for December, which would be enough to end seven years of negative ECB deposit rates. ....

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