LONDON, Aug 2 (Reuters) - Italy’s borrowing costs rose sharply on Thursday, with analysts citing renewed worries over tensions within the country’s new anti-establishment government.
The yield on Italy’s 10-year government bond rose three basis points to a five-week high of 2.91 percent , while short-dated two-year yields rose well over 15 bps to 0.95 percent — its highest since late June.
The closely-watched spread between Italian and German 10-year bond yields was at its widest in a month at 245 bps. . (Reporting by Abhinav Ramnarayan and Virginia Furness; Editing by Dhara Ranasinghe)