Italy’s Bonds Rise as Letta Wins Vote; Portugal Securities Slide
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Italy’s government bonds rose for a second day as Prime Minister Enrico Letta won a confidence vote in parliament, avoiding the risk of sending the country to another election.
The nation’s two-year yields dropped to the lowest level in eight weeks after former premier Silvio Berlusconi backtracked on a pledge to bring down the government amid signs his party would desert him. Portuguese bonds slumped, halting a four-day advance. German bunds were little changed as the European Central Bank President Mario Draghi repeated plans to keep borrowing costs low for as long as necessary.