UK 10-year gilts' yield premium over Bunds hits 6-month low

LONDON: The yield premium of 10-year British government bonds over German Bunds fell to a six-month low on Friday, extending recent outperformance after data showed euro zone annual inflation fell to 0.3 percent in November.

Ten-year gilts' yield spread over Bunds tightened by more than 2 basis points on the day to hit 120 basis points, its lowest level since late May .

Ten-year gilt yields fell to their lowest level since May 2013 at 1.901 percent and 30-year yields hit a fresh record low of 2.645 percent, both 2 basis points down on the day.