TOKYO - Bond prices edged lower on Tuesday after German bund yields hit a one-month high following a report by Reuters that Germany is considering a “shadow budget” to allow the government to circumvent its strict national debt rules.
The U.S. Federal Reserve is also widely expected to cut interest rates next week as policymakers race to shield the global economy from risks, which also include Britain’s planned exit from the European Union. Oil futures hit their highest level in six weeks in Asia after Saudi Arabia’s new energy minister confirmed he would stick with his country’s policy of limiting crude output to support prices. [O/R]ended flat in New York on Monday. [.N]
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