LONDON, June 24 (Reuters) - Government bond yields rose sharply across the euro zone on Monday, extending last week’s rise triggered by the Federal Reserve’s plans to reduce monetary stimulus later this year.
Italian 10-year yields rose 18 basis points on the day to 4.76 percent, while equivalent Spanish yields were 12 bps higher at 5 percent. Other euro zone bond yields also rose.
German Bund futures fell 113 ticks to as low as 140.17, tracking losses in U.S. T-note futures which were down more than a point at 125-07/32.
“It’s ... this overall story of less liquidity support from central banks and it’s an ongoing market correction for almost three weeks now,” one trader said.