MILAN - Foreign holdings of Italian government bonds fell by a net 3.4 billion euros ($3.9 billion) in October, central bank data showed, bringing the overall drop since a populist government coalition first emerged in mid-May to more 72 billion euros.
The sales in October hit mainly short-term bonds, the Bank of Italy said on Thursday in its balance of payments publication.
Unnerved by the anti-austerity and anti-European stance of the Rome government, foreign investors have been shedding Italian debt in recent months, pushing up Rome's cost of borrowing. ($1 = 0.8718 euros)
(Reporting by Giulio Piovaccari, editing by Valentina Za) ((giulio.piovaccari@thomsonreuters.com; +39 02 6612 9743; Reuters Messaging: giulio.piovaccari.thomsonreuters.com@reuters.net))
