LONDON, Feb 25 (Reuters) - Euro area benchmark Bund

yields edged higher on Tuesday as traders eyed a report that

Germany is discussing 200 billion euros for an emergency defence

fund as the country digests the election results.

Remarks from U.S. President Donald Trump overnight that his

planned tariffs on Canadian and Mexican imports are on schedule

to come into force at the start of March also kept traders

nervy.

Germany's 10-year bond yield - a benchmark for

the wider euro zone - was up 1 basis point (bp) at 2.478%.

The country' 2-year bond yield fell 1 bp (bps) to

2.08%.

Benchmark 10-year U.S. Treasury yields were down

6 bps at 4.384%.