Thursday, June 14, 2007

European Bond Yields Hold Near Five-Year High After May Inflation Report

(Bloomberg) -- European bond yields held near the
highest since August 2002 after a report showed euro region
inflation stayed near the European Central Bank's 2 percent,
fueling expectations of further interest-rate increases.

Benchmark debt fell yesterday after ECB policy maker Erkki
Liikanen said the outlook for economic growth in Europe will be
``positive'' for years. Futures prices show investors are betting
central bank policy makers will lift rates twice more this year.


Read more at Bloomberg Bonds News

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