MUMBAI, Sept 1 (Reuters) - Long-dated euro zone bond
yields climbed on Monday with Germany's 30-year yield hitting a
14-year peak, tracking a rise in U.S. Treasury yields, as
investors continue to fret over government debt levels around
the world.
Germany's 30-year yield rose 3 basis points to
3.378%, its highest since August 2011. Other long-dated euro
zone yields, including in France and the Netherlands, traded
broadly in line with Germany's and were also at 14-year highs.
Long-tenor euro zone bond yields posted their biggest
monthly jump in five months in August as long-dated debt
remained under pressure across developed economies. The 30-year
U.S. Treasury yield rose 4 bps on Friday.
U.S. markets are closed on Monday for the Labor Day
holiday.
Germany's 10-year yield, the benchmark for euro zone bonds,
was up 2 bps at 2.75%.
In addition to fiscal worries, political developments in
France have also been a drag for the country's government bonds.
The 10-year French government bond yield was last up
2 basis points at 3.53%.
The developments have also contributed to a widening of the
spread between German and French 10-year bond yields
, which was last 78 basis points after last week
reaching its widest since April.
European Central Bank President Christine Lagarde said on
Monday she was looking very attentively at the French bond
spreads but that France was not currently in a situation that
would require IMF intervention.