The one thing we’ve not seen as the Greek drama takes center stage once again is a lack of contagion bleeding over into other markets.
German bunds are in demand but traders are not selling peripheral debt for a change.
Italian yields are actually lower on the day at 5.54% in the 10-year maturity while Spanish yields are unchanged at 5.77%. Greek yields are up only 5 bp to 23.56%.
US Treasuries are seeing a continued rally. 10-year notes are yielding 1.84%.
