Bond market in panic for crisis Italy

For a moment there was a sigh of relief about the markets that there would be no government of two Eurosceptic parties in Italy.

At the beginning of the afternoon, the yield on 10-year government bonds was 2.66%, an increase of 20 basis points compared to Friday. The interest rate on biennial government bonds stood at almost 50 basis points higher at 0.75%.

At the start of the day, the euro first rose 0.6% against the dollar, but fell around a lunchtime to a small loss.