Markets turn on German bonds

It wasn't what the Germans expected. Yesterday the Germans managed to flog just €3.6bn of 10-year bonds although €6bn were laid on the table for investors.

The lack of enthusiasm for triple A-rated debt from Europe's most powerful economy pushed Germany's borrowing costs higher, to 2.26% as of today. More expensive than the UK - still able to borrow at 2.18% for 10 years.