Yields on Italy’s 10-year BTPs fell toward 3.34%, their lowest level since December last year, in line with a global decline in borrowing costs as investors bet that major central banks, particularly the Fed and the Bank of England, will cut interest rates. In Europe, the ECB enters its pre-meeting blackout period on Thursday ahead of next week’s policy decision. While rates are expected to remain unchanged, investors will watch for guidance on the outlook, with markets now fully pricing in a 25-basis-point cut by July 2026. On the political front, Prime Minister Giorgia Meloni, marking three years in office, emphasized that her government will prioritize national stability over economic growth, stating that “stability” remains the key objective despite subdued economic performance.