Portuguese Government bonds fell to a historical minimum yesterday.
Portuguese 10 Years Bond yield fell below 1% for the first time, reaching an unprecedented historical minimum. This happens three months after the European Central Bank stopped buying bonds and, as BPI analysts report, it is due to the uncertainty and fear that are taking over investors about this Sunday’s European elections.
However, it isn’t an exclusive phenomenon to Portugal that has been following the European tendency with Germany seeing their 10 Years bonds yield falling below zero (-0.10%). The trade war between the US and China as well as the never-ending Brexit process might be a plausible explanation for what is happening.