The latest Market Talks covering FX and Fixed Income. Published exclusively on Dow Jones Newswires throughout the day.

0525 GMT - The energy shock and higher expectations for policy rates are an important part of the explanation for the sharp rise in long-term rates but the rise also reflects more structural changes, SEB's Jens Magnusson and Malte Meuller say in a note. These structural changes include larger government borrowing needs, higher risk premia, strong private-sector demand for capital and reduced demand from major bond buyers, say chief economist Magnusson and Meuller, advisor to the chief economist. "Much suggests that yield levels similar to those we see today will persist, and that the low-rate years should rather be viewed as a historical anomaly," they say. (emese.bartha@wsj.com)

0521 GMT - Financial markets often show interest in sovereign debt only when it is already too late, Reichmuth & Co's Christof Reichmuth says in a note. "Deficits can grow, reforms can be delayed, and debt can accumulate for years without investors reacting. Yet, at some point, perceptions shift," he says. The focus then moves away from the underlying causes and onto financing costs, he says, adding that France is approaching such a point. "The crucial factor here is not so much the absolute level of debt as the relationship between economic growth and financing costs," he says. (emese.bartha@wsj.com)

0517 GMT - Norway's 20-year government bond looks expensive on most metrics, Danske Bank's Jens Peter Sorensen says in a note. "Hence, we would prefer to buy 10-year Norwegian government bonds rather than 20-year Norwegian government bonds," the chief analyst says. That said, Danske still likes NGBs, especially given pressure on eurozone government bonds and U.S. Treasurys from issuance and likely more rate hikes by the European Central Bank and the Federal Reserve, he says. On Wednesday, Norges Bank will auction 3 billion Norwegian kroner in April 2028- and September 2046-dated bonds. (emese.bartha@wsj.com)

0513 GMT - The two-year Norwegian government bond at a yield close to 5% does look attractive for investors, Danske Bank's Jens Peter Sorensen says in a note. "We expect that Norges Bank has reached the peak on monetary policy at 4.5%," the chief analyst says. Norges Bank raised its key policy rate by 25 basis points to 4.50% in September. "Hence, we recommend focusing on the two-year rather than the 20-year [bond] at the auction," he says. On Wednesday, Norges Bank will auction 3 billion Norwegian kroner in April 2028- and September 2046-dated bonds.