Energy prices soar, Eurozone bonds perform the worst

Eurozone government bond prices fell on Friday, with the global bond market expected to record its worst weekly performance since the outbreak of the Iran war, as soaring energy prices forced central banks worldwide to take swift action against inflation. The European Central Bank raised interest rates by 25 basis points and adjusted its inflation and growth forecasts. The yield on Germany's two-year government bonds rose to 3.208%, the highest since October 2023.