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Italy banks, bonds rally after PM Conte remarks on EU rules

Published 06/04/2019, 04:21 PM
Updated 06/04/2019, 04:30 PM
Italy banks, bonds rally after PM Conte remarks on EU rules
FTITLMS3010
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DE10IT10=RR
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MILAN, June 4 (Reuters) - Italian banks and sovereign bond
prices rose on Tuesday with traders citing comments from Italian
Prime Minister Giuseppe Conte, who said that the government had
to abide by EU budget rules until such time as they could be
changed. Shares in Italian banks .FTIT8300 rose 1.7% by 0813 GMT,
further recovering from the September 2016 lows hit last week.
Yields across the government bond curve were down 4-5 basis
points on the day as prices rose. That pushed the gap between
Italian 10-year bond yields and safer German peers to 272 bps --
its tightest in just over a week DE10IT10=RR .
Conte made the remarks after the market closed on Monday. He
also told his two coalition partners to end their constant
feuding or seek new elections, threatening to resign.

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