LONDON Oct 13 Euro zone government bond yields
fell broadly on Thursday after sources familiar with European
Central Bank policy discussions told Reuters the ECB may discuss
tweaks to its asset-buying scheme at its meeting next week.
The rally also followed minutes from last month's U.S.
Federal Reserve meeting which suggested that while a December
rate hike in the world's largest economy is likely, any further
increases will be gradual.
German 10-year bond yields -- the euro zone's benchmark --
fell 3 basis points to 0.03 percent, pulling back
from a one-month high hit on Wednesday.
Most other euro zone yields were down 3-4 basis points on
"It is a combination of a cautious Fed and the ECB
discussing some hands on ways to address its QE programme,"
Commerzbank strategist Rainer Guntermann said.
(Reporting by John Geddie; editing by Patrick Graham)