German Bunds Fall as Greece Loan Speculation Damps Safety Demand
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Germany’s bunds fell for the first week in five as optimism European leaders are taking steps to stem Greece’s fiscal crisis damped demand for the euro-area’s safest assets.
Ten-year yields rose to the highest in two weeks before euro-area finance ministers hold a conference call today to prepare for a Nov. 26 meeting on an updated aid package for Greece. While making “good progress” at talks in Brussels on Nov. 20-21, European Union lawmakers differed over how to plug a 14 billion-euro ($18.1 billion) gap in a Greek debt-reduction plan, German finance minister Wolfgang Schaeuble said in Berlin on Nov. 21. Greece’s 10-year yields fell to an eight-month low.