(Reuters) - Spanish government bond yields fell further on Thursday, and safe-haven German government bonds reversed earlier gains, after Spain found decent demand at a debt auction, despite having to pay up to borrow.
Spanish 10-year bond yields were last 15 ticks lower on the day at 6.61 percent, with shorter-dated yields falling even more.
Bund futures reversed early gains to stand 3 ticks higher on the day at 140.52.
Spanish bonds have rallied in recent session and Bunds fallen, on speculation Europe's bailout schemes may be used for buying sovereign bonds in the secondary market. Germany's Angela Merkel, however, said that was not being discussed. .
