Egypt’s struggle to win back investors in local debt is increasing the urgency of the government’s deal with the International Monetary Fund. With external capital markets almost closed, the lack of demand has shut down one of the main sources of funding it has left at home. Sales of local currency bonds fell 38 percent […]
Tag: Bonds
In anticipation of the ECB meeting, the spread of Greek bonds widened
The market’s interest is focused on the critical meeting of the ECB’s board of directors next Thursday, September 8, as the pressures on the Central Bank to proceed with a significant – by 0.75% – increase in its key interest rate are increasing. According to the poll published today by the Reuters agency, about half […]
AUD/USD remains bearish near multi-week lows
AUD/USD remains depressed near a multi-week low and is under pressure from a combination of factors. Aggressive expectations from the Fed and high yields on US bonds push the dollar back close to two-decade highs. The risk environment reinforces the safe-haven dollar and weighs on the risk-sensitive Aussie. The pair AUD/USD it struggles to take […]
Despite the increase in spreads in the Ministry of Finance, they see a large reduction in debt
By Tasos Dasopoulos The estimate that inflation will jump this year to 8.5-9% on an annual basis does not only have the known negative consequences. If it is combined with the fact that growth will touch – if not exceed – 5%, it may result in a record reduction of debt at the end of […]
What does the drop in Greek bonds mean for the economy?
By Tasos Dasopoulos Abstinence from the issuing activity of new bonds is imposed by the explosive atmosphere created by the expectation of the second increase in the interest rates of the euro prepared by the ECB for the meeting next Thursday. Statements on the need for a decisive stance by the ECB to contain galloping […]
AUD/USD rises towards 0.6950 amid modest USD weakness
AUD/USD gains traction for the second day in a row and recovers from a six-week low. Pullback in US bond yields and risk boost weigh on the dollar and offer support for the pair. Aggressive bets on Fed rate hikes should limit deeper USD losses and keep the pair contained. The pair AUD/USD attracts some […]
Bond yields are on the rise – The Greek 10-year yield exceeded 4%
The decline in bond prices continued today, resulting in the yield of the Greek ten-year bond exceeding 4%. Developments in the bond market mainly reflect the increased pressure on the European Central Bank to proceed with a further increase in interest rates in September, after the increase of 50 basis points (0.5%) in July. Despite […]
USD/CAD pulls back from multi-week highs and heads towards 1.3000
A combination of factors causes some intraday selling around USD/CAD on Monday. Rising oil prices underpin the loonie and put pressure on amid a sharp dollar pullback. Aggressive Fed rate hike bets should limit USD losses and support the pair. The pair USD/CAD cuts its initial gains to the 1.3075 area, ie the highest level […]
AUD/USD flirts with a multi-week low around 0.6850
AUD/USD falls to a multi-week low on Monday and is under pressure from a combination of factors. Bets on aggressive Fed rate hikes and high US bond yields push the dollar to a 20-year high. The risk-averse environment also benefits the dollar, which is a safe haven, and weighs on the risk-sensitive Aussie. The pair […]
US two-year bond at high since 2007
Two-year U.S. Treasury yields hit a 15-year high today as investors reassessed their stance on a more extended period of aggressive Fed rate hikes that the Fed chief signaled on Friday. The Fed will continue to raise interest rates in an effort to curb inflation, even if those hikes cause “financial pain” to households and […]