LONDON- The pool of euro zone government bonds with negative yields has surged so far in June to 4.3 trillion euros or around 55% of the total, the highest proportion since August 2016, Tradeweb data showed on Thursday.
Bond yields across the bloc took another plunge on Tuesday after European Central Bank chief Mario Draghi raised the prospect of further easing to boost inflation.
Of around the 7.87 trillion euros of euro area government bonds in the Tradeweb system, the proportion of debt yielding less than zero rose sharply again, according to Tradeweb data as of the close of trade on Tuesday, the day of Draghi's speech.
The 55% pool of bonds with sub-zero yields was the largest share since August 2016, Tradeweb data showed.
Its data also showed almost 36% of euro zone government bonds -- some 2.83 trillion euros worth -- now yield less than the ECB's deposit rate of minus 0.40 percent, the highest since at least 2016.
And the number of investment grade euro-denominated corporate bonds with negative yields also jumped to stand at almost 1 trillion euros as of Tuesday's close.
(Reporting by Dhara Ranasinghe) ((Dhara.Ranasinghe@thomsonreuters.com; +442075422684;))
