Eurozone government bonds posted slight gains Monday, with investors largely in wait-and-see mode amid a lack of new developments on US trade tariffs. Germany's 10-year yield rose nearly 2 basis points to 2.49 per cent, staying near the lower end of its recent range. Italy's 10-year yield held steady at 3.59 per cent, while Germany's two-year yield inched up 1 basis point to 1.75 per cent. Markets are now bracing for a flurry of critical economic data later this week, including US PCE inflation and GDP figures due Wednesday, followed by April's nonfarm payrolls report on Friday. Although it may be too soon for trade tensions to significantly impact the numbers, investors will be closely watching for any signs of slowing momentum. In Europe, preliminary inflation readings from Spain on Tuesday and Germany, France, and Italy on Wednesday could also shift expectations for the European Central Bank's interest-rate trajectory. A hotter-than-expected print could force a rethink of easing plans, but for now, US data remains the primary driver. Attribution: Reuters Subediting: Y.Yasser
