RTRS:EURO GOVT-Bunds extend gains to more than a full point
(Reuters) - German Bund futures rose by more than a full point to hit a new session high on Friday as investors sought out low risk assets after a Spanish rating downgrade and grew wary about the risk of policy announcements over the weekend.
Fitch cut its rating on Spanish government debt to BBB, two notches short of 'junk' status, and placed the country on negative outlook, citing contagion risks from the Greek crisis.
The German Bund future rose to 144.15, up 109 ticks on the day, with traders citing low liquidity and short-term flows from speculative accounts behind the strength of the move.
