Spread plunges to 171 on new ECB package

(ANSA) - Rome, June 4 - The spread between Italian and German 10-year bond yields plummeted to 171 points Thursday, from an opening 189, and with a yield of just 1.37% on the BTP, after the European Central Bank announced a fresh pandemic recovery package.
    The ECB announced it will increase its Pandemic Emergency Purchase Programme by 600 billion euros ($672 billion) as it attempts to bolster the economy following the coronavirus crisis. The amount comes on top of 750 billion euros of government bond purchases the ECB announced in March, taking the total to 1.35 trillion euros. The central bank also said Thursday that the duration of its crisis bond-buying program will be extended from the end of 2020 until June 2021, or until the bank believes the crisis is over.