Europe's Sovereigns Rally, Retracing Monday's Losses, In Spite of Continued Econ Weakness
The price of European governments' debt obligations rose on strong trading Tuesday following a sharp selloff the prior day, lowering the borrowing costs of those countries and giving some confidence to equity markets.
Yields on benchmark French and Dutch bonds slumped early in the day and continued dropping after U.S. markets opened, falling to 3.038 and 2.344 percent, respectively. Yields move in the opposite direction of price, so a falling yield corresponds with a rising price.