Bund futures are rising sharply: Investors are betting on safe interest rates!

Bund futures are rising sharply: Investors are betting on safe interest rates!

On Tuesday morning, June 3, 2025, the Bund futures markets are positive. The June contract is up 30 ticks at 131.46 percent. The daily high is currently recorded at 131.49 percent and the daily low at 131.17 percent. Around 38,000 contracts have been implemented so far. Other futures also show increases: The Buxl futures climbs 76 ticks to 122.10 percent, while the Bobl futures rises 8 ticks to 119.24 percent, as finance.net reported.

The futures trading environment is influenced by a variety of factors. In particular, the contracts offered, which have different terms and coupon amounts, play a crucial role. The Euro-Buxl® Futures, which have a term of 24 to 35 years, offer a coupon of 4 percent. In comparison, the Euro-Bund Futures offer a term of 8.5 to 10.5 years with a coupon of 6 percent. These different instruments allow investors to invest in different maturities and adjust their portfolios accordingly, as well eurex.com is described.

Different terms and coupons

The various futures available include not only German bonds, but also Italian, French, Spanish and Swiss bonds. This diversified selection of bonds allows investors to invest specifically in different markets and benefit from the respective economic conditions. The Euro-Schatz futures, for example, have maturities of 1.75 to 2.25 years and a coupon of 6 percent, while the Euro-Bobl futures cover maturities of 4.5 to 5.5 years.

In addition, the contract amounts for the individual futures are set at EUR 100,000 or CHF 100,000. The minimum issue amounts vary depending on the issuer, with German securities having to have at least EUR 4 billion and French, Italian and Spanish bonds having to have at least EUR 5 billion.

Commercial agendas and settlement

An important aspect of futures trading is the delivery obligations that must be met by the seller's position. Delivery is made through specific debt instruments and must be within the respective maturity on the day of delivery. For example, German securities have an original term of a maximum of 11 years, while Italian bonds can have up to 17 years.

Trading months are limited to up to 9 months, with the next three quarterly months (March, June, September and December) being traded. The delivery day takes place on the tenth calendar day of the respective quarterly month, provided that it is a trading day. The daily settlement price is determined during a closing auction or based on the volume-weighted average of transactions, which is crucial for market transparency.

Overall, current developments on the futures market reflect both the stability and flexibility of the products on offer, which enable investors to specifically manage their risk and react to different market conditions. The positive trends in Bund futures and other well-known products are a sign of the current market environment, which is characterized by a certain degree of optimism.