Gold Prices Fall Amid Rate Jitters; Copper Steady as China Stimulus Eyed 
The German bunds slumped on Tuesday after the Japanese Prime Minister Shinzo Abe confirmed stimulus package of 28 trillion yen. On the contrary, weak equities and tumbling crude oil prices limited the growth in bond yields.
The yield on the benchmark 10-year bond rose 3 basis points to -0.064 percent, the yield on long-term 30-year note jumped 4 basis points to 0.401 percent and the yield on short-term 3-year note bounced 1 basis point to -0.636 percent by 09:20 GMT.
Japanese Prime Minister Abe confirmed a 28.1 trillion yen stimulus plan and specified that 13.5 trillion yen would be in new fiscal measures including 7.5 trillion yen in spending by national/local governments and 6 trillion yen in loans.
Moreover, he mentioned that this package will be implemented over several years, with only 4.6 billion yen, which is around 0.9 percent of the country’s GDP, coming in this fiscal year. Lastly, the government claims that it will boost GDP by 1.3 percent, but private estimates are much lower.
In addition, the German bunds have been closely following developments in oil markets because of their impact on inflation expectations. The crude oil prices fell more than 1 percent with increases in OPEC production and US oil rig additions continued to weigh on the market. The International benchmark Brent futures fell 0.33 percent to $42.03 and West Texas Intermediate (WTI) tumbled 0.20 percent to $39.90 by 08:30 GMT.
Investors will remain keen to focus on the upcoming economic data, highlighted by trade balance, Q2 GDP and consumer inflation.
Meanwhile, the German stock index DAX Index trading 1.43 percent lower at 10,184 by 09:00 GMT.
