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Citi no longer expects yields on German 10-year bonds to turn negative this year, after a sharp sell-off triggered by receding fears of deflation in the euro zone. The bank had previously expected yields to touch -0.05 percent by the end of the third quarter, but has revised that target up to 0.2 percent. It also doubled its yield target for the end of the year to 0.4 percent from 0.2 percent. Goldman Sachs on Friday revised its end-2015 target for Bund yields to 0.90 percent from 0.50 percent.

Copyright Reuters, 2015

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