Berlin’s ‘big bazooka’ proposal sends industrial stocks surging but fiscal sea change also hikes borrowing costsBusiness live – German debt ‘bazooka’ rallies stocks and euroEuropean financial markets have rallied sharply and German borrowing costs have soared after the country’s prospective leaders announced a historic deal to loosen its “debt brake” rule to boost spending on defence.The yield – in effect the interest rate – on 30-year German government bonds rose by about 25 basis points to 3.08% in its biggest daily increase since October 1998. Continue reading... Economics
Berlin’s ‘big bazooka’ move sends industrial stocks surging but fiscal sea change also hikes borrowing costsBusiness live – German debt ‘bazooka’ rallies stocks and euroEuropean financial markets have rallied sharply and German borrowing costs have soared after the country’s prospective leaders announced a historic deal to loosen its “debt brake” rule to boost spending on defence.The yield – in effect the interest rate – on 30-year German government bonds rose by 16 basis points, after having earlier jumped by as much as 25 basis points to 3.07% in its biggest increase since October 1998. Continue reading... Economics
Investors bet on big boost to growth after agreement to increase funding for military and infrastructure Economics
Proposal to relax borrowing rules described as ‘sea change’ for debt issuance Economics
