Monday, July 16, 2007

European Government Bonds May Fall on Signs of Continuing Economic Growth

(Bloomberg) -- European bonds may drop for the first
day in three on speculation a report will show confidence in the
euro region increased this month, adding to the case for higher
interest rates from the European Central Bank.

Bunds may snap a two-day winning streak as traders bet a
report will show investor confidence in the $10.4 trillion
economy rebounded. Signs of quicker economic expansion in the
region may lift expectations that inflation, which erodes the
value of the fixed returns paid by bonds, will quicken.


Read more at Bloomberg Bonds News

No comments: