By Emese Bartha

The 10-year German Bund yield turns positive in early trade on Wednesday for the first time since May 2019, according to Tradeweb data.

The 10-year Bund yield last trades 2.5 basis points higher at 0.008%, according to Tradeweb.

Government bond yields have been rising of late, driven by the Federal Reserve's move to tighten monetary policy, the European Central Bank's reduction of asset purchases and the customary heavy government bond issuance in the eurozone at the beginning of the year.

"The 0% mark in 10y Bunds still holds as geopolitical tensions and Fed tightening jitters weigh on risk sentiment while UST headwinds extend," said Commerzbank's rates strategists Rainer Guntermann and Hauke Siemssen.

Commerzbank recommends tactical long positions in 10-year Bunds.

Write to Emese Bartha at emese.bartha@wsj.com

(END) Dow Jones Newswires

January 19, 2022 02:47 ET (07:47 GMT)