Europe Bond Gains Push Yields From Spain to Germany to Records
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Euro-area bonds advanced, pushing 10-year yields from Spain to Germany to record lows, amid speculation the European Central Bank is prepared to expand its stimulus plan as the region’s economic outlook dims.
Rates on similar-maturity Austrian, Belgian, Dutch, Finnish, Irish and Italian debt also fell to all-time lows. The euro region’s bonds have extended gains into an eighth month. ECB President Mario Draghi said on Aug. 22 that bets on price increases in the currency bloc “exhibited significant declines.” Policy makers are scheduled to hold their next rate-setting meeting on Sept. 4. Bonds pared their gains as Reuters reported the ECB is unlikely to add stimulus next week.