Latest News

Europe’s pool of negative-yield debt widened in November – Tradeweb

Economy53 minutes ago (Dec 01, 2021 12:42)

© Reuters. FILE PHOTO: A picture illustration of euro banknotes, April 25, 2014. REUTERS/Dado Ruvic

LONDON (Reuters) – The pile of negative-yielding government debt in the euro zone rose to its highest level in three months in November, as investors scaled back rate hike bets and rushed back to safe-haven debt amid an uncertain outlook, Tradeweb data showed.

The value of negative-yielding euro-denominated government debt stood at around 6.19 trillion euros ($7.01 trillion) at the end of November, up from 4.9 trillion euros a month previously, the Tradeweb data showed on Wednesday.

Negative-yielding debt comprised 67% of a total government bond market in the euro zone worth over 9 trillion euros on the Tradeweb platform, versus 54% a month earlier. This was the highest share since August.

The pool of negative-yielding British government bonds rose to its biggest since January at 765 billion pounds, or around 28.5% of a total market worth around 2.69 trillion pounds, Tradeweb said.

Sovereign bond yields have fallen sharply in recent weeks as central banks pushed back against aggressive market pricing for interest rate hikes and the emergence of a new coronavirus variant, Omicron, sparked a fresh dash for fixed income.

The share of negative-yielding euro-denominated investment-grade corporate bonds was little changed at end-November at around 26% of a total market worth 3.7 trillion euros, the Tradeweb data showed.

Europe’s pool of negative-yield debt widened in November – Tradeweb

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Omicron Bounce, ADP & ISM, China Listing Loophole – What’s Moving Markets

Previous article

ECB governors mull delaying call on future bond buys as outlook murky

Next article

You may also like


Leave a reply

Your email address will not be published.

More in Latest News