Italian Bonds Rise for Fourth Day as Industrial Orders Increase

Italy’s bonds rose for a fourth day as a government report showed the nation’s industrial orders increased more than economists predicted, adding to optimism the region’s economy is recovering.

The extra yield investors receive to hold Italy’s 10-year bonds instead of similar-maturity German securities narrowed to the least since January. Spanish 10-year bonds also advanced for a fourth day, the longest run of gains in almost three weeks. German 10-year bunds snapped a two-day advance as demand for the region’s safest assets waned.

Italy’s 10-year yields fell two basis points, or 0.02 percentage point, to 3.88 percent at 3:09 p.m. London time. The 4.5 percent security maturing in May 2023 gained 0.12, or 1.20 euros per 1,000-euro ($1,285) face amount, to 105.365. The rate on Spanish 10-year bonds slid one basis point to 4.20 percent.

Germany’s 10-year yield was little changed at 1.34 percent after climbing to 1.41 percent on May 15, the most since March 25. The rate on the nation’s two-year note added two basis points to minus 0.015 percent. A negative yield means investors who hold the security until it matures will receive less than they paid to buy it.

To contact the reporters on this story: Lukanyo Mnyanda in Edinburgh 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.