New record for it spread between XNUMX-year btp and bund which this morning fell to 118 basis points. The yield differential between German and Italian bonds has never been so low since July 27, 2010 when it touched 117 points.
An Italian trader interviewed by the Reuters agency explains that “investors are still short and expectations of 'quantitative easing' push them to buy. It is fundamentally – he continues – still the effect of yesterday's ECB press conference”.
Around 12,20 the btp-bund spread is at 120 basis points from 126 at the end of yesterday's session, during which it went up to 133 basis points. The yield on 10-year BTPs stands at 1,957% from 2,023% yesterday at the close.
The good news on the spread also gives a positive effect in trades a Business Square broadening gains, bouncing after yesterday's losses. At 12,20 today, the Ftse Mib rose by 1.91%, driven by the banks.
