Wednesday, April 18, 2007

European Government Bonds May Gain; Report to Show Producer Prices Slowed

(Bloomberg) -- European government bonds may extend gains before a report that's expected to show German producer- price inflation slowed in March, damping expectations of higher interest rates in Europe.

Benchmark bunds rose for a third day yesterday as yields near their highest in more than 2 1/2 years lured investors from equity markets. Prices of goods from plastics to newsprint may have gained 2.7 percent in the year after rising 2.8 percent in February, according to the median estimate of economists surveyed by Bloomberg News.


Read more at Bloomberg Bonds News

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