European stock markets ended the trading session lower across the board.
The Stoxx Europe 600 index, the U.K.’s FTSE 100 and France’s CAC 40 all provisionally closed down by 0.7%. Meanwhile, Germany’s DAX was lower by 0.4%
Investors have also been digesting a rise in long-dated Treasurys that saw those bonds surpass a key 5% threshold amid a U.S. credit downgrade and mounting concerns around fiscal spending plans outlined in a Republican spending bill.
UK long-term borrowing costs set to close at highest level since 1998
The British government’s long-term borrowing costs were higher, with the 30-year gilt yield set to close at its highest level since 1998.
The 30-year gilt yield was up over 5 basis points to 5.573% at 2:40 p.m. in London, the 20-year gilt was over 4 basis points higher to 5.451%, while the 10-year gilt was flat at 4.762%.
U.K. borrowing costs have risen off the back of the U.K.-EU post-Brexit deal on Monday, in which the two sides signed an agreement covering a number of matters including security, energy, trade, travel and fisheries.
source: cnbc
