LONDON, Sept 8 The euro hit a two-week high,
bond yields across the euro zone rose and stock markets in the
region fell after ECB chief Mario Draghi said an extension of
the central bank's asset-purchase programme was not discussed at
Earlier, the bank kept interest rates on hold and made no
changes to its 80 billion euro a month asset-buying scheme.
The euro hit a two-week high of $1.1328, up 0.8
percent on the day, after Draghi said the Governing Council had
not discussed an extension of the prorgramme.
The pan-European STOXX 600 equity index extended
losses as Draghi spoke, and was down 1.2 percent by 1307 GMT.
Government bond yields rose sharply, extending earlier
Germany's 10-year Bund yield was up 4 basis points at minus
0.082 percent, while 30-year bond yields briefly
spiked almost 8 bps before trimming those increases
Italian, Spanish and Portuguese 10-year government bond
yields rose as much 6-7 bps each
Euribor futures <0#FEI:>, meanwhile, fell 2-4 basis points
across the 2016-2019 strip as investors scaled back expectations
for further stimulus.
(Reporting by London markets team; Editing by Nigel Stephenson)