European Bonds May Extend Losses as Sovereign-Debt Supply Rises

  • Gauge of region's inflation outlook dropped to six-month low
  • BNP Paribas says it's too early to re-enter long positions

After a volatile week in global markets, traders may be reluctant to increase their holdings of euro-area government bonds as debt supply surges and before the European Central Bank responds to the turmoil kindled in China.

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