Feb 26 (Reuters) - Euro zone government bond yields edged up on Wednesday from their lowest level in over a week, as traders continued to weigh the prospect of increased European defence spending, while digesting a rebound in U.S. Treasury yields.
The U.S. House of Representatives advanced President Donald Trump's tax-cut agenda late on Tuesday, which made U.S. Treasury yields regain some ground.
Germany's 10-year bond yield DE10YT=RR, the benchmark for the euro zone bloc, rose one basis point (bp) to 2.463%, after the yield fell to 2.446% on Tuesday, its lowest since February 17.
The spread between 10-year U.S. Treasuries and German bunds DE10US10=RR widened again by 1.8 bps to 185.6 bps, after narrowing to multi-month lows on Tuesday.
Italy's 10-year yield IT10YT=RR was higher by less than one bp at 3.53%, and the gap between Italian and German yields DE10IT10=RR stood at 106 bps.