LONDON (Reuters) -German government bond yields, equities and the euro all rose on Friday on reports Germany's Chancellor-in-waiting Friedrich Merz had reached an agreement with the Greens to reform debt rules and massively increase state borrowing. Merz's conservatives and the Social Democrats, who are in negotiations to form a government after an election last month, had proposed a 500 billion euro fund for infrastructure and sweeping changes to borrowing rules to revive growth and ramp up military spending. To reach the two-thirds majority required for the necessary constitutional changes, though, they need the support of the Greens.
