2010.09.2005:58:00UTC+00German Government bond prices fall after overdone rally

News

• German government bond prices fell as markets judged last week's safe haven rally to have been overdone.
• Persistent worries about Ireland's fiscal deficit kept the country's spreads near record highs.
• The December Bund future was down 37 ticks from the settlement close, at 129.40 by 0905 GMT.
• The 10-year Irish/German government bond yield spread was up 410 basis points, the euro lifetime high hit on Friday as worries swirled about funding Ireland's crisis-stricken banking sector.
• The 10-year Bund yield was up 5.6 bps at 2.478 pct, while the two-year Schatz yield was up 3.3 bps at 0.805 pct.
• The equivalent Portuguese/German bond yield spread narrowed to 372 bps.
• The ECB will publish details of its bond-buying operations at 1330 GMT.