Germany sells EUR 700.9mln vs exp. EUR 1bln 3.25% 2042 Bund, EUR 809mln vs exp. EUR 1bln 0.00% 2052 Bund, EUR 822mln vs exp. EUR 1bln 2.90% 2056 Bund & EUR vs exp.

• 3.25% 2042: b/c 1.1x (prev. 1.24x), average yield 3.23% (prev. 3.08%), retention 29.9% (prev. 26.7%)
• 0.00% 2052: b/c 1.5x (prev. 1.9x), average yield 3.45% (prev. 2.83%), retention 19.0 (prev. 25%)
• 2.90% 2056: b/c 2.1x (prev. 1.3x), average yield 3.45% (prev. 3.26%), retention 17.8% (prev. 24.0%)

Today's German bond auction revealed weaker demand across all maturities, falling short of expectations with mixed bid-to-cover ratios. The higher retention rates, especially for the 3.25% 2042 Bund, and significant increases in average yields suggest investors are becoming more cautious, reflecting shifts in market sentiment that could impact future issuance and overall fixed income performance.