Italian banking concerns leading to move into safety
The news that the ECB supervisory board has decided to reject more time to raise capital for Monte Dei Paschi, has led to a flight into the safety of the government debt. The 10 year Bund has moved down and is now down about 6 basis points on the day (see tick chart of action today below). The US 10 years was trading as high as 2.443% but is now trading unchanged on the day at 2.045%.