Italian bond yields fall, spread over Bunds narrows

LONDON: Italian government bonds yields fell on Tuesday, narrowing the spread over German Bunds after European Central Bank buying in the previous session stabilised the market in the wake of a credit rating cut by Standard & Poor's.

Italian 10-year government bond yields were 9.5 basis points lower at 6.55 percent, narrowing the spread over Bunds by 11 basis points to 476 basis points.