VENUS: Italy’s 10-year bonds soared for a fourth week, with yields dipped below 2 percent for the first time, amid assumption that European Central Bank would declare plans as soon as next month to buy monarch debt.
Spanish and Portuguese securities climbed after two ECB officials said the institution was preparing a broad-based asset-purchase plan, including government bonds. German bunds fell for the first time in six weeks as ECB President Mario Draghi stopped short of announcing the purchases at this week’s policy meeting, saying it would wait until next quarter before assessing whether additional stimulus measures were required.
“The overriding message from the ECB right now is that they don’t want to tinker,” said Richard Kelly, a senior strategist at Toronto-Dominion Bank in London. “They want to do this once and they want to do it right. There was that disappointment that came through on the meeting itself because they didn’t announce anything and it didn’t seem like Draghi was as forceful as he could have been, but rumors have reinforced that things are coming.”
Markets, oil drop in Asia but bitcoin edges towards $50,000
HONG KONG: Markets fell in Asia on Friday in holiday-thinned trade with investors awaiting developments in US stimulus talks, while...
