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German Two-Year Notes Stay Higher as Industrial Production Falls

German two-year notes stayed higher after a report showed industrial production in Europe’s largest economy unexpectedly slumped in October.

The yield on the zero percent securities due in December 2014 decreased one basis point, or 0.01 percentage point, to minus 0.060 percent at 11:07 a.m. London time. Ten-year rates were little changed at 1.30 percent.

Production fell 2.6 percent from September, when it declined 1.3 percent, the Economy Ministry in Berlin said today. Economists forecast that output would remain unchanged, according to the median of 42 estimates in a Bloomberg News survey. From a year earlier, production fell 3.7 percent when adjusted for working days.

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