German bunds rally amid global risks

Trade uncertainty, fiscal stimulus and central bank policies have made German Bunds popular with risk-averse investors, with yields having risen since March and expected to remain high due to planned fiscal spending. Pressure on US bonds from President Trump’s new tax bill, inflation, and other policy concerns have worried investors and led them to Bunds. They are not as risk-free as perceived, however, due to high government debt and interest rate volatility. But with their comparatively steep curve and higher yield, some prefer them over US Treasuries; will they end up replacing them as a...