Bonds round-up
European bonds were lower today after data showed a surprise jump in German business confidence.
The Ifo research institute said this morning that its business climate index increased to 104.1 in February from 103.4 in January. German bund yield rose nearly 3 basis points to 4.06%
UK gilts were hampered by the news but still posted gains with the yield on the two-year gilt down 1 basis point to 4.31% and the ten-year bond down to 4.7%.
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Meanwhile, figures released today showed UK economic growth is under threat as business investment fell to its lowest quarterly rate in three years during the fourth quarter.
Numbers from the Office for National Statistics revealed business investment dropped 0.5% quarter on quarter versus a 2% rise the period before and expectations of a 0.9% increase.
