Political situation in Italy still causes mistrust

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Source: Marketwatch
© Scanpix/Reuters
Olli Rehn, the economics chief of the EU said on Friday that Italian economy still faces a lot of economical risks, as the economy continues to decline. Manufacturing in the country lost 1.1% this July on the annual basis, while the GDP slump eased to 0.2% in Q2. Analysts point out that political instability may push 10-year bonds' yields even higher, while they have already overcame those from Spain.
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