Japan fund managers shun EU debt

Japanese fund managers lowered their average weighting for euro zone bonds in their model portfolios in March due to worries about Greece's debt crisis and large fiscal deficits in other European countries, a Reuters survey showed. Japanese fund managers also shifted money to stocks from bonds because of growing expectations that the US and Canadian economies will recover, according to the survey. Greece drew significantly less demand for a €5 billion (Dh24.74bn) auction of seven-year debt on March 29 compared with previous auctions. It was the first test of market confidence after the 16 countries that share the euro agreed a rescue plan.