The spread between Italian and German
10-year bond yields plummeted to 171 points Thursday, from an
opening 189, and with a yield of just 1.37% on the BTP, after
the European Central Bank announced a fresh pandemic recovery
package.
The ECB announced it will increase its Pandemic Emergency
Purchase Programme by 600 billion euros ($672 billion) as it
attempts to bolster the economy following the coronavirus
crisis.
The amount comes on top of 750 billion euros of government
bond purchases the ECB announced in March, taking the total to
1.35 trillion euros.
The central bank also said Thursday that the duration of its
crisis bond-buying program will be extended from the end of 2020
until June 2021, or until the bank believes the crisis is over.
ALL RIGHTS RESERVED © Copyright ANSA
