Spanish Bonds Gain as ECB Said to Propose Unlimited Bond-Buying
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Spanish 10-year bonds advanced for a third day as officials said the European Central Bank’s government bond-buying proposal involves unlimited purchases, boosting demand for the debt of so-called peripheral nations.
Germany’s 10-year bunds dropped after the nation received bids for less than its maximum target at an auction. Spanish two-year notes fell before the country sells as much as 3.5 billion euros ($4.4 billion) of securities due between 2014 and 2016 tomorrow. The Frankfurt-based ECB, led by President Mario Draghi, will refrain from setting a public cap on yields, according to three officials, who spoke on condition of anonymity.