The spread between Spanish and Italian bonds compared to the benchmark German bonds, jumped to 5.7 percent this morning. This is a difference of 3.05 percentage bonds and indicates how great a premium is required to entice buyers for debt issued by Spain and Italy.
Late last night, Portugal’s central bank said that Portugal faces an “intolerable risk” if the government fails to implement the spending cuts outlined in its so-called “austerity” budget approved last week.
Source: BBC News
Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.
Latest posts by Scott Boyd (see all)
- Japan’s Demographic Trap - 25 June 2012
- Officials Talk Openly of Greek Euro Exit - 16 May 2012
- Greek Voters Prepare to Roll the Dice - 15 May 2012