Tuesday, April 26, 2011

Greek bond spread widens

Greek 10-year bond yields fell to a new record low on Tuesday, while the spread between the Greek bond and the Greek benchmark bonds widened, after statements by German chancellor Angela Merkel's financial advisor Lars Feld on Bloomberg television on the prospect of a restructuring of the Greek debt spurred strong pressures on the domestic and the Portuguese bond markets. 
 
Feld voiced doubts as to whether Greece will succeed in completing its fiscal adjustment. 
 
The yield of Greece's 10-year bond neared 15.06 percent, with the spread widening to 11.81 percent (1181 bps).




ANA-MPA