10-year yields are down by 10 bps on the day
And that's helping to ease investors' concerns on Italy with the yields spread between German and Italian 10-year bonds also narrowing to 294 bps, the tightest in two weeks.
This comes on the back of headlines here:
- Italy's Siri says 'a little fine-tuning' of budget is possible
- Salvini cracks open the door to solution in budget spat with EU
And that's also helping to give a bit of a push higher in the euro alongside improved risk sentiment and a weaker dollar to start the day. EUR/USD trades near session highs at 1.1362 now with EUR/JPY similarly at 128.65. Meanwhile, EUR/GBP holds near the highs as well at 0.8857.
