Spanish Bond Spreads Hit All-Time Record Highs

via: ZeroHedge
by: Tyler Durden
July 19, 2012

Tyler Durden's picture

Despite all the pats on the back from fellow EU political members and reassurances that all will be well with political reforms, 10Y Spanish bond spreads (the additional risk over German bunds that investors demand before lending money to Spain) just hit all-time record highs. At over 580bps, we are now we well above the pre-Euro era highs (remember focus on spread not yield since Bund rates were so different back then – though current yields remain above the 7% Maginot Line of unsustainability). Spain 10Y bond spreads are now 40bps wide of pre-Summit peak levels and 130bps wider than post-Summit kneejerk reaction lows. But look at stocks and we know all is fixed in Europe…

Advertisements

, , , , , , , , , , , , , , , , , , , , , , , , ,

  1. Leave a comment

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: