Bonds: Treasuries fall back to pre-Brexit levels

These were the movements in some of the most widely-followed 10-year sovereign bond yields:

US: 1.73% (+7bp)

UK: 0.91% (+5bp)
Germany: 0.07% (+3bp)
France: 0.37% (+4bp)
Italy: 1.32% (+4bp)
Spain: 1.10% (+2bp)
Greece: 8.38% (+3bp)
Portugal: 3.30% (+10bp)
Japan: -0.013% (-1bp)

Selling momentum continued in longer-term government debt, especially in Gilts and Treasuries, with yields on the latter having now returned to their pre-Brexit levels at the 10-year tenor.

To take note of perhaps, the latest fund manager survey carried out by Bank of America-Merrill Lynch found that a net 54% of those who participated believed the combined valuation of stocks and bonds was at its highest since May 2000.

Gilts participated in the retreat, pushing their yields higher, despite the release of weaker than expected CPI data.

Headline consumer price inflation in Britain continued rising at a 0.6% year-on-year clip in August, unchanged from the previous month's readings and defying projections for a rise to 0.7%.

Indeed, at the 'core' level the cost of living in Britain even retreated a bit last month.

Economic data releases in the Eurozone on the other hand were generally better-than-expected, at least on the surface, but by and large economists appeared to retain a cautious attitude.

Acting as a backdrop, Nikkei reported the Bank of Japan was planning to delve "deeper" into negative policy rates.