Societe Generale rate strategists say Germany's 10-year bund yield has reached their Q4 target of 3.25%, but the sell-off is not over. They flag that term-premium rebuilding still has a long way to go and remains well below pre‑QE levels, supporting their mid‑2027 target of 3.40% and making a rise to 3.60–3.75% by end‑2027 increasingly likely. Tradeweb data showed the German 10-year closed at 3.25% on Friday.

2026-08-24

Societe Generale rate strategists say Germany's 10-year bund yield has reached their Q4 target of 3.25%, but the sell-off is not over. They flag that term-premium rebuilding still has a long way to go and remains well below pre‑QE levels, supporting their mid‑2027 target of 3.40% and making a rise to 3.60–3.75% by end‑2027 increasingly likely. Tradeweb data showed the German 10-year closed at 3.25% on Friday.