Friday, July 1, 2016

Government bonds marked record lows in Western economies – euronews

“Yes, the policy of the European Central Bank is very clear, continue buying debt markets This has led to markets that anticipate future minimum for German federal bond and, in return, increased equity”

in the UK, the yield on 10-year bonds is at 0.8180%. In the US, Treasuries, also 10 years, reaching its lowest level in four years 1.4138%.

The uncertainty caused by the Brexit, and the policy of the European Central Bank ( ECB ) are the key, analysts say: “Yes, the policy of the European Central Bank is very clear, continue buying debt on the markets although says he wants to change the way you run their purchases. This has led to markets that anticipate future minimum for German federal bond and, in return, increased equity, “says Arthur Brunner, an analyst at investment bank ICF Bank AG.

If we delve into the analysis, the experts consulted agree in stating that market volatility persists, the Brexit postponed a possible increase in interest rates in the eurozone and that the obligations to long term countries like France (0.1613% for 10-year bonds) and Spain (1,146% for 10-year bonds) are also attractive.

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