A mere 75 bp rise in the Irish yield on a nominal basis and about 45 bp versus the German benchmark. Rising sovereign debt concerns has blown a hole in the EUR to 1.60 argument and specs are heading for the hills in a hurry.
EUR/USD trades in the high 1.3680s, consolidating today’s substantial losses.
Just crossing the wires are comments from the Irish CB governor:
- An IMF package would look much the same as what the government is doing now (deep austerity)
- Doesn’t see why yields in Ireland can’t get back to levels seen in April. (4.50% versus 8.90% today)
