November 6, 2018 / 2:14 PM / 13 days ago

Italian bond yields extend rise on Dombrovskis sanctions threat

LONDON, Nov 6 (Reuters) - Italian government bond yields rose further on Tuesday after Valdis Dombrovskis, vice president of the European Commission, said the Commission was considering sanction procedure against Italy if it does not revise its budget by Nov 13.

Italy’s 10-year government bond yield rose to a session high at 3.418 percent, up nine basis points on the day, pushing the Italy/Germany bond yield gap out to 299 basis points, its widest since November 2.,. (Reporting by Virginia Furness; Editing by Dhara Ranasinghe)

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