German Bunds Extend Drop as Court Ratifies ESM With Conditions

German 10-year bunds extended declines after the nation’s Constitutional Court ratified Europe’s permanent bailout fund, the 500 billion-euro European Stability Mechanism, with conditions.

Germany’s 10-year yield rose seven basis points, or 0.07 percentage point, to 1.61 percent as of 9:23 a.m. London time.

Europe’s biggest economy must make sure its share of the ESM is capped at 190 billion euros, the court said.

To contact the reporter on this story: Lucy Meakin in London at

To contact the editor responsible for this story: Paul Dobson at

Press spacebar to pause and continue. Press esc to stop.

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.