The BTP-Bund spread widens above 210 basis points after the intervention of the League, which asked the premier for “discontinuity” Mario Draghi fueling fears among investors about the executive’s resilience. The spread has risen by 6 basis points compared to yesterday’s close and by 17 compared to the low of 193 touched in the morning, after Draghi had opened for the reconstitution of the ruling coalition. The yield of our 10 years is unchanged at 3.31%
The yield differential between Italian and German bonds is affected by theuncertainty surrounding the governmentwith the leader of the League in the Senate, Maximilian Romeowho called for a “new majority” without M5S and “if needed, a new government”.
Meanwhile it also slips Piazza Affari (-1.7%). Fears about the outcome of the crisis and the fate of the government push the Ftse Mib to the lows of the day, with the blue chip index losing 1.76%, with Saipem (-3%) and banks leading the decline .
They turn European stock exchanges are down together with US futures. Markets fear a major rate hike by the ECB, which could increase them by 50 basis points to the board of tomorrow, which will also address the issue of the anti-spread shield.
Source: Ansa
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