Monday, 04 June 2007

European Government Bonds May Gain; Yields at Three-Year High Lure Buyers

(Bloomberg) -- European government bonds may advance
on speculation 10-year yields at the highest in more than three
years will attract investors.

Ten-year bunds, the benchmark for Europe, last month fell by
the most since March 2006 on concern the 13-nation euro region is
growing faster than expected and the European Central Bank hasn't
raised interest rates far enough to prevent inflation picking up.
ECB Policy makers on June 6 will raise rates a quarter point to 4
percent, a Bloomberg News survey predicts.


Read more at Bloomberg Bonds News

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