FXStreet (Mumbai) – Despite the failure of Greek debt talks on Thursday, the Eurozone bond markets are more or less steady with no signs of panic yet.
Risk aversion ahead?
The German 10-year yield is down almost two basis points, while the periphery nation bond yields – Spain, Portugal, Italy are more or less unchanged. Meanwhile, the Greek 10-year yield is trading flat as well.
So far, no signs of risk aversion – sharp rise in periphery yields and drop in German yields has been seen. Another Eurogroup meeting is scheduled on Saturday, which is termed as a last ditch effort by many to reach a deal before the June 30 deadline.
The spread between the US –German 10 year yield is largely unchanged on the day at 154-155 basis points.
The bond markets have stayed calm even after the EU commissioner gave Athens five days to avoid a Grexit.
(Market News Provided by FXstreet)