European government bond yields are soaring, and rising inflation may prompt central banks to raise interest rates.

Recently, there has been a significant increase in volatility in the European government bond market. With international oil prices continuing to remain high, market expectations for a rise in European inflation and interest rates are increasing, leading to a continuous rise in long-term government bond yields in major economies such as Germany and the UK. Some market institutions are currently predicting that the European Central Bank may maintain high interest rates for a longer period of time, and there is even a possibility of further rate hikes.