RPT-Bund yields, euro rise as ECB gives no hint of imminent easing

Thu Feb 6, 2014 8:55am EST

LONDON Feb 6 (Reuters) - German Bund yields and euro zone money market rates rose on Thursday after European Central Bank President Mario Draghi gave no hint of imminent monetary policy easing in initial remarks after holding rates steady.

The pan-European FTSEurofirst 300 pared gains as Draghi spoke, trading up just 0.6 percent having been 1.2 percent higher when he started. The euro rose against the dollar and sterling.

One-year one-year Eonia forward rates rose to 0.18 percent from 0.166 percent before Draghi started speaking while Eonia contracts dated for the ECB meetings this year rose 1-2 basis points as traders scaled back the prospects of imminent easing.

Bund futures fell to new session lows of 143.47, while 10-year Bund yields rose 5 basis points to 1.59 percent.