German bund yields drop on flight to safety

FXStreet (Mumbai) – The investors continue to prefer the German bunds over the bonds of the periphery nations after Greece announced that it would default on its IMF loan repayment due today.

German yields drop, periphery yields rise

The yield on the 10-year German bund fell almost five basis points to 0.74% before recovering slightly to 0.773%. The Greek 10-year yield shot through the roof once again, to trade at 15.244%; up 57 basis points on the day.

Meanwhile, Portugal and Spain – are moderately up on Tuesday. The 10-year yield in Portugal is up by 0.025 percentage points.

The investors continue to prefer the German bunds over the bonds of the periphery nations after Greece announced that it would default on its IMF loan repayment due today.

(Market News Provided by FXstreet)