European Bonds Advance After Global Stocks Slump on U.S. Housing Concerns

(Bloomberg) -- European government bonds climbed,
pushing 10-year yields to the lowest in almost two months, after
stocks declined in the U.S. and Asia on concern a housing slump
is worsening.

Benchmark bonds rose for a second day after shares of U.S.
homebuilders sank to their lowest since 2003. A credit market
rout caused by defaults on U.S. subprime mortgages gives
``serious reasons to worry,'' without posing a systemic threat,
Moody's Investors Service said in a report.


Read more at Bloomberg Bonds News