Thursday, April 14, 2011

Eurozone debt fears return to haunt Europe

Financial Times
April 14, 2011

Concerns over eurozone sovereign debt issues resurfaced to cast further clouds on sentiment, leaving most European equity indices nursing losses.

Greek government bonds suffered a heavy sell off, pushing the 10-year yield to a record high, after Wolfgang Schäuble, German finance minister, said Greece might need to restructure its sovereign debt.

Equity indices across the periphery nations suffered the heaviest losses, leaving the Athens General down 2.8 per cent to 1,487.76, Spain’s Ibex 35 off 1.4 per cent to 10,636.1 and Italy’s MIB down 1.2 per cent to 21,833.72.

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