There is more value in eurozone government bonds than in U.S. Treasurys, according to The Investment Institute by UniCredit. The reason for this view is that the U.S. is more exposed to fiscal risks, its analysts say. In the eurozone, they envisage the 10-year Italian BTP-German Bund yield spreads to hover around 70 basis points. The analysts see the scope for a substantial decline in German yields as limited given the European Central Bank's hawkish stance. The 10-year BTP-Bund yield spread closed at 78 basis points on Wednesday, according to Tradeweb. (emese.bartha@wsj.com)
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Eurozone Government Bonds Seen Outshining U.S. Treasurys — Market Talk
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There is more value in eurozone government bonds than in U.S. Treasurys, according to The Investment Institute by UniCredit. The reason for this view is that the U.S. is more exposed to fiscal risks, its analysts say. In the eurozone, they envisage the 10-year Italian BTP-German Bund yield spreads…