A persistent
sell-off in bond markets left financial market confidence in short
supply on Thursday, with stocks lower globally and not even traditional
safe havens like gold and the Swiss franc providing much of a refuge
German
10-year Bund yields DE10YT=TWEB, the .benchmark for European debt
costs, rose to 2015 highs, dragging down the region's share markets
<0#.INDEXE> in the process on fears the higher borrowing costs
could hurt economic growth and profits.
Currency traders watched the euro EUR= burn past $1.13 to a five-month high as the dollar lost its overnight swagger. <FRX/>
That took the euro's surge over the last two days past 3 percent and with 10-year Bund yields testing 1 percent, market players had Wednesday's remarks from European Central Bank head Mario Draghi that volatility was here to stay, ringing in their ears
"Clearly these are very aggressive moves," said Patrick O’Donnell, an investment manager at Aberdeen Asset Management in London
"Momentum is clearly with the (bond market) bears at the moment and there was nothing said by ... Draghi yesterday that would stop this rout."
After a 4 percent jump on Wednesday, Greek shares .ATG fell 2.5 percent as uncertainty clouded the country's hopes of clinching an aid deal with euro zone creditors in the coming days.
Greek Prime Minister Alexis Tsipras left talks with senior EU officials in Brussels on Wednesday saying a deal was "within sight" and that Athens would make a payment due to the IMF on Friday.
Currency traders watched the euro EUR= burn past $1.13 to a five-month high as the dollar lost its overnight swagger. <FRX/>
That took the euro's surge over the last two days past 3 percent and with 10-year Bund yields testing 1 percent, market players had Wednesday's remarks from European Central Bank head Mario Draghi that volatility was here to stay, ringing in their ears
"Clearly these are very aggressive moves," said Patrick O’Donnell, an investment manager at Aberdeen Asset Management in London
"Momentum is clearly with the (bond market) bears at the moment and there was nothing said by ... Draghi yesterday that would stop this rout."
After a 4 percent jump on Wednesday, Greek shares .ATG fell 2.5 percent as uncertainty clouded the country's hopes of clinching an aid deal with euro zone creditors in the coming days.
Greek Prime Minister Alexis Tsipras left talks with senior EU officials in Brussels on Wednesday saying a deal was "within sight" and that Athens would make a payment due to the IMF on Friday.
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