Italian bond yields are expected to fall from recent record highs in an auction on Thursday in a sign the European Central Bank has managed to ease market pressure, at least for now, with its big injection of longer-term funds earlier this month. But analysts doubted whether the unprecedented ECB move and domestic progress on reform would be enough to see Italy smoothly over its refinancing hurdles from January to April, when some 91 billion euros of its bonds come due. And while Rome's short-term funding costs halved at an auction on Wednesday, analysts warned against expecting such a big drop in yields on Thursday. ... (full story)