LONDON, March 29 Greek government bond yields
tumbled to multi-week lows on Wednesday after Reuters reported
that Greece had reached an agreement with its lenders on some of
the main issues in the indebted country's current bailout talks.
Greece has agreed with its lenders on key labour reforms,
spending cuts and energy issues, moving closer to clinching a
deal before a meeting of euro zone finance ministers on April 7,
sources close to the talks said on Wednesday.
Short-dated Greek bond yields fell to a two-month low of
7.47 percent and were last down 50 basis points.
Greece's 10-year government bond yield fell more than 30
basis points to a five-week low at 6.93 percent.
"There's been reports that the government could be close to
an agreement with lenders, though this is yet to be confirmed by
the Greek government, this is why the yields are falling today,"
said DZ Bank strategist Daniel Lenz.
"If this gets confirmation from an EU official there might
be an even sharper fall," he said.
(Reporting by Dhara Ranasinghe; Editing by Abhinav Ramnarayan)