Saturday, November 6, 2010

Surging bond yields fuel fresh Greece fears

Financial Times
November 5, 2010

A surge in Greek bond yields has underscored growing concern about political stability in Athens ahead of Sunday’s local government elections.

Yields on Greek 10-year bonds spiked to 11.34 per cent on Friday, approaching the historic highs of last May when the country had to be bailed out by the European Union and International Monetary Fund to avert a sovereign default.

George Papandreou, prime minister, is threatening to call a snap general election if voter support for his embattled Socialist party, which has been steadily been losing ground according to opinion polls, falls by a significant margin.

More

No comments: