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2010.11.0512:48:00UTC+00German Bund Prices settled down on a Stronger Than expected US Jobs Data

News:

German bund prices edged lower on Friday, on a stronger than expected US non-farm payrolls data,
The December bund futures ended at 130.25, down by 0.34 ticks on the day, after dipping for 65 cents to an intraday low at 129.95.
The bund yield erased early losses to close 4 bps up at 2.42 pct, while the 2-yr Schwartz yield gained 0.6 bps to stand at 0.924 pct.
The 10-year Portuguese/German yield spread narrowed 9 bps to 425 bps, nearing its euro lifetime time high of 440 bps.
The Irish/German 10-year yield spread hit a new euro lifetime high at 553 bps before easing back to 545 bps, following Ireland's announcement of plans of $6 bln spending cuts in 2011.

Quotes:

"But it was mostly the 10-year Bund that got hit, with the wings on the two-year and ultra-long issues seeing far less upward pressure on yields," Phil Jordan, a bonds trader at Monument Securities said.
"What's been happening is that as the periphery remains in trouble, investors put their money specifically in the shortest bonds, hence the two-year," Phil Jordan added.

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