Italy’s 10-year BTP yield fell below 3.35%, its lowest level since December 2024, tracking broader European declines as renewed US trade policy uncertainty boosted demand for safe-haven debt. Over the weekend, US President Donald Trump said he would raise a temporary import tariff from 10% to 15%, following a Supreme Court ruling that blocked his wider tariff measures. EU Trade Commissioner Maroš Šefcovic met with US Trade Representative Jamieson Greer and Commerce Secretary Howard Lutnick as Brussels seeks clarity on Washington’s next steps, while a senior EU lawmaker urged the European Parliament to postpone a vote on legislation implementing the EU’s side of the trade deal. Investors now await inflation data from Germany, France, and Spain for insight into how a stronger euro may affect price pressures and the European Central Bank’s policy direction.
