LONDON (Reuters) – Euro zone government bond yields fell on Thursday as investors expect the ECB to maintain its stimulus program amid growing concerns about a second wave of coronavirus.
The poll, conducted on Wednesday, showed that the German service sector is experiencing a recession again, you can bet on the fact that European regulators will adhere to the “dovish policy”.
“The ECB’s Emergency Relief Program has still not spent about € 800 billion and the regular asset buying program is also continuing to develop,” said a note to clients of ING strategists. “This means that downward pressure on money market rates is unlikely to be avoided. “.
The yield on German 10-year bonds fell 1.8 basis points to minus 0.52%, near the 1.5-month low of minus 0.539% hit on Monday. The yield on the 30-year bonds continued to decline, losing another 2 basis points to minus 0.07%.
The yield on government bonds in the Netherlands and France is also down 1 or 2 basis points.
(Abhinav Ramnarayan, translated by Olga Devyatiarova. Editor Anna Kozlova)