Italy 10 year yield drops notably today on news that the coalition government offered major concession to EU regarding its budget. Italian Prime Minister Giuseppe Conte told reports after meeting European Commission President Jean-Claude Juncker that 2019 budget deficit target from 2.4% to 2.04%.
Conte emphasized that “We are not betraying the trust of Italians and we respect the commitments made with the measures which have the most impact.” He added that “growth will be above our expectations” and the structural deficit will fall. Economy Minister Giovanni Tria will travel to Brussels today to guide the remaining parts of the budget talks with EU.
Italy 10 year yield is down -0.076 at 2.937 at the time of writing. It’s now at the lowest level since late September.
