10 November 2010

EU: Ireland Stars In... Return Of The PIIGS...As Its Bonds Lead Rout.

BLOOMBERG/ Keith Jenkins /
      Ireland's 10-year bonds fell for a 12th day, leading a rout in debt from Portugal to Greece for most of the so-called "PIIGS," weakening the euro and stocks.
    Strategist Christoph Rieger notes the impact “is mainly restricted to Ireland, Portugal and Greece, but to a certain degree Spain also. Tensions are more likely to exacerbate rather than improve.”
    Goldman Sachs believes that a bailout of Ireland and Portugal through the European Financial Stability Facility would relieve market tensions and not lead to contagion.