June 11 (Reuters) - Euro zone government bond yields

were mixed on Wednesday as investors awaited U.S. consumer price

index data later in the session and details of the outcome of

trade talks between the U.S. and China.

U.S. and Chinese officials agreed on a framework to put

their trade truce back on track while offering little sign of a

durable resolution to longstanding trade differences.

The Consumer Price Index report from the Labor Department on

Wednesday could show the CPI less the volatile food and energy

components rising by the most in four months.

Germany's 10-year yield, the euro area's

benchmark, was up 0.5 basis points (bps) at 2.54%.

Money markets fully priced in a European Central Bank rate

cut of 25 bps by December and an around 60%

chance of the same move in September.

Two-year German yields rose 0.5 bps to 1.86%,

while 30-year yields were flat at 3.00%.

Italian 10-year yields rose 2.5 bps to 3.48%,

leaving the gap between German and Italian yields

at 88.5 bps. The spread hit 86.70 bps on Tuesday its lowest

level since February 2021.