ECB steps up buying government bonds

Eurozone government bonds with longer maturities surged yesterday as the region’s central banks bought sovereign debt for a second day, pushing yields closer to those on shorter-dated notes.

Euro-system central banks were said to have purchased securities, including German five-year notes with a negative yield, under the European Central Bank’s expanded quantitative- easing plan, according to three people with knowledge of the transactions.

Belgian and Italian securities were also acquired, one of the people said. An ECB spokesman declined to comment.