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France’s final February inflation data showed a clear rebound. CPI rose 0.6% month-on-month and 0.9% year-on-year, while HICP increased 0.7% on the month and 1.1% on the year. The figures confirm that French inflation picked up in February, even if the overall level remained relatively moderate by recent standards.

Source: INSEE.

Germany’s wholesale price pressure strengthened in February, with the WPI up 0.6% month-on-month and 1.2% year-on-year. That kept the annual pace unchanged from January, but the monthly gain was firmer and points to renewed short-term price momentum in the distribution chain.

Source: Destatis.

March Thomson Reuters/Ipsos PCSI readings painted a mixed picture across Europe. France improved to 42.03 from 41.15 and Spain rose to 51.21 from 49.99, while Germany slipped to 44.73 from 47.07 and Italy eased to 47.53 from 48.07. The message is that consumer sentiment is not moving in one direction across the bloc, with southern resilience contrasting with softer core-Europe readings.

Source: Thomson Reuters/Ipsos.

Italy’s latest debt sale showed higher borrowing costs at the front and belly of the curve, with the 3-year BTP yield rising to 2.75% from 2.36% and the 7-year yield to 3.34% from 3.02%. The 15-year BTP yield, however, eased to 3.85% from 4.03%, suggesting demand held up better at the long end even as shorter maturities came under more pressure.

Source: MEF Department of the Treasury.

Italy’s quarterly unemployment rate fell to 5.6%, down from 6.1% previously and below the same 6.1% market expectation. The drop suggests Italy’s labor market stayed firmer than expected at the turn of the year, reinforcing the picture of a still-resilient employment backdrop.

Source: Istat, Labour market – Q4 2025.

Italy’s 12-month BOT auction rose to 2.372% from 2.068%, while Germany’s 10-year Bund auction climbed to 2.890% from 2.730%. The move points to firmer borrowing costs across Europe, with both the short end in Italy and the benchmark long end in Germany moving higher.

Source: MEF Department of the Treasury; Deutsche Finanzagentur.

Germany’s final February inflation data showed price pressure easing slightly but staying broadly stable. CPI rose 0.2% month-on-month and 1.9% year-on-year, while HICP rose 0.4% on the month and 2.0% on the year, matching the figures in your data block and confirming a mild cooling from January. In Spain, the picture was stronger on demand: retail sales rose 4.0% year-on-year in January, accelerating from 2.8% previously.

Source: Federal Statistical Office of Germany (Destatis); National Statistics Institute of Spain (INE).

Germany’s latest 2-year Schatz auction cleared at 2.270%, up from 2.020% previously, showing that short-end German borrowing costs have moved higher again. The result points to firmer front-end yields and suggests investors demanded a noticeably higher return to absorb the new paper.

Source: Bundesrepublik Deutschland – Finanzagentur GmbH.

Italy’s producer-price data sent a mixed signal in January. PPI rose 1.5% month-on-month, reversing the -0.7% decline seen previously, but on an annual basis it remained in negative territory at -1.6%, compared with -1.4% before. The figures suggest short-term price momentum improved, while broader producer inflation remained subdued.

Source: Istat.

France’s January data showed a better external picture. Exports rose to €53.4B while imports fell to €55.3B, leaving the trade balance at -€1.8B, improved from -€4.3B previously. At the same time, the current account strengthened to €2.10B from €0.10B, suggesting France started the year with a firmer external backdrop.

Source: Direction générale des douanes et droits indirects (DGDDI); Banque de France.

Germany’s trade surplus widened to €21.2 billion in January, well above the previous €17.4 billion, as imports fell more sharply than exports. Official data showed exports dropped 2.3% month-on-month, slightly worse than expected, while imports slumped 5.9%, producing a larger external surplus despite weaker trade flows overall.

The release sends a mixed signal for Europe’s largest economy. A bigger surplus may look supportive on the surface, but in this case, it was driven mainly by a steep decline in imports, which can also point to softer domestic demand.

Source: Federal Statistical Office of Germany (Destatis).

France’s latest BTF auction showed a modest rise in short-dated borrowing costs. The 12-month BTF came at 2.339%, up from 2.097%, while the 6-month BTF rose to 2.217% from 2.065%, and the 3-month BTF increased to 2.097% from 2.030%. The move suggests investors demanded slightly higher yields across the front end of the French curve.

Source: Agence France Trésor.