German Bund yield falls to new 2-1/2 year low below zero

LONDON, March 27 (Reuters) – Germany’s benchmark 10-year Bund yield fell on Wednesday to a new 2-1/2 year low below zero percent, resuming last week’s sharp falls.

The yield fell 2.5 basis points to minus 0.038 percent , its lowest since late-2016. Analysts said Brexit uncertainty was also bolstering demand for safe-haven German debt.

That renewed push lower came as overnight news reinforced fears of a world growth outlook: China’s industrial firms posted their worst slump in profits since late 2011 in the first two months of this year. New Zealand’s central bank unexpectedly said its next move in interest rates was more likely a cut. (Reporting by Dhara Ranasinghe; editing by Sujata Rao)

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