Germany sells EUR 3.811bln vs exp. EUR 5bln 2.90% 2036 Bund: b/c 1.18x (prev. 1.46x), average yield 2.89% (prev. 2.73%), retention 23.78% (prev. 22.9%)

The German bond auction came in below expectations, selling EUR 3.811 billion versus the EUR 5 billion target. The bid-to-cover ratio declined to 1.18x from the previous 1.46x, indicating weaker demand, while the average yield increased slightly to 2.89%. This suggests a potential shift in investor sentiment towards Bunds, impacting the outlook for rates and risk appetite in the broader market.