Spread rises above 140 (3)

(ANSA) - Rome, February 23 - The spread between Italian and German 10-year bond yields, a gauge of Italy's borrowing costs and of market confidence in the Italian economy, widened to 141 points Friday, from 137 at the start of the day, a day after European Commission President Jean-Claude Juncker said the EC must prepare for a "non-operational government" in Italy after the March 4 general election.
    The EC chief said this would be "the worst-case scenario".
    Juncker said that "a strong market reaction in the second half of March is possible, we're preparing for this scenario".
    Most polls have shown that the election will produce a hung parliament.
    Juncker later rowed back form his comments, saying he would have the "utmnost confidence" in any post-election government. The lower the spread is, the better it is for the Italian economy and debt-servicing costs.
    The spread rose above 200 points last year on EU populist fears.