Bund futures extend losses pre-payrolls

LONDON: German Bund futures extended losses on Friday as investors repositioned after sharp gains in the previous session, ahead of key jobs data out of the United States.

The move coincided with a sharp rise in prices of bonds issued by Italy and Spain as some investors bought in anticipation of the European Central Bank eventually intervening to keep the borrowing costs of the two countries in check.

German Bund futures extended losses and last stood down 92 ticks on the day at 143.96.

Ten-year Spanish government bond yields fell 16 bps on day to 7.07 percent. Two-year Spanish yields were last down 46 bps on day at 4.08 percent.

Ten-year Italian yields were 20 basis points lower at 6.14 percent.