Bonds News

Investors shelter in safe haven German bonds on U.S. election uncertainty

LONDON, Nov 2 (Reuters) - German government bond yields dropped on Wednesday as investors, rattled by uncertainty over next week’s U.S presidential election, sought refuge in the safe haven debt.

The move in the euro zone’s top-rated benchmark followed a similar fall in U.S. Treasury yields as investors started to rethink their long-held bets of a victory for Democratic candidate Hillary Clinton on signs her Republican rival Donald Trump could be closing the gap.

German 10-year bond yields fell 3 basis points to 0.15 percent, while yields on lower-rated bonds in Spain and Italy rose and euro zone stock markets fell.

Reporting by John Geddie; Editing by Alistair Smout