Friday December 26, 2014 Search
Weather | Athens
19o C
12o C
News
Business
Comment
Life
Sports
Community
Survival Guide
Greek Edition
Greek bond yields dip as investors anticipate ratings upgrade

Greek bond yields slipped on Friday, slightly outperforming other lower-rated euro zone bonds as investors anticipated a credit ratings upgrade from Moody's later in the day.

Moody's has an extremely speculative Caa3 rating on Greece, the worst in the euro zone. It is scheduled to review the rating on Friday. Any announcement will come after the market closes.

Some market participants say an upgrade looks possible. Greece's economic outlook has improved and its held two successful debt sales this year, after its 2012 default.

Moody's one-notch upgrade of Portugal's ratings despite the problems facing its biggest bank fueled expectations of similar action for Greece.

Greek 10-year bond yields were down 2 basis points at 6.04 percent, bucking the upward trend on other lower-rated debt. Their yields were 1 to 4 bps higher on the day.

"Moody's is still a lagging the other rating agencies, so a bit of a catchup upgrade for Greece by about up to two notches is very possible," said Rainer Guntermann, a strategist at Commerzbank. "It won't come as a big shock to the market, but as always with official confirmation some accounts may feel more comfortable in adding to their positions (on Greek bonds)."

Italian and Spanish 10-year yields were up 4 bps at 2.73 and 2.55 percent respectively. Investors were cautious before a U.S. jobs report that may shed light on when the Federal Reserve will end its ultra-easy, risk-friendly monetary policy.

US non-farm payrolls, due at 1230 GMT, were forecast to show 233,000 jobs were added last month and the unemployment rate held steady at 6.1 percent.

Some traders said the market was already positioned for a strong figure and would need to see a big number - 250,000 and above - for a durable upward move in U.S. Treasury yields.

The effect of potentially higher US yields on euro zone bonds should also be tempered by Thursday's report on inflation in the region, which fell to its lowest in almost five years in July.

"If expectations for the Fed's gradual normalization in policy do indeed pan out, then there is, we feel, a strong argument to suggest that not only will core euro yields remain well bid, but that the higher-yielding peripheral market will see even greater demand," Rabobank strategists said in a note.

"Yield hunters (will) look to a corner of the rates world that is, for the time being, going to remain very much supported by an ECB that is very much on a mission." [Reuters]

ekathimerini.com , Friday August 1, 2014 (13:11)  
Major rise in air arrivals this year
Uncertainty sees fuel demand revert to crisis level
High occupancy rates at winter resorts this Christmas
Paperwork for taxpayers living abroad
Hope for Cyprus talks amid reports Turkish ship Barbaros withdrawing
New hope for the possible resumption of stalled Cyprus talks emerged on Christmas Day amid reports in the Turkish media that the Turkish seismic vessel Barbaros would withdraw from Cypriot w...
Govt condemns desecration of Jewish cemetery in Larissa
The government has condemned an attack on the Jewish cemetery of Larissa, central Greece, on Christmas Eve. In a statement, Deputy Prime Minister and Foreign Minister Evangelos Venizelos (ph...
Inside News
National homeless team and PAO join Christmas Truce commemoration
Panathinaikos and the Greek National Homeless Soccer Team met at the training center of the Greens in Koropi last weekend for an informal soccer get-together, commemorating the Christmas Tr...
SOCCER
Atromitos signs Greece midfielder Katsouranis
Atromitos announced on Friday the most impressive transfer of this winters window, the signing of former Greece skipper Costas Katsouranis. The defensive midfielder has signed a six-month c...
Inside Sports
COMMENTARY
A positive note
Given the celebratory nature of the Christmas season, any discussion of the countrys current situation or modern-day agnostics mystification at interpretations of the divine would be depre...
EDITORIAL
Every little bit helps
There is no time like the present for us to renew our efforts to carry out our duty toward those of our fellow citizens who have suffered more than most during the last four years of austeri...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
RECENT NEWS
1. National homeless team and PAO join Christmas Truce commemoration
2. Hope for Cyprus talks amid reports Turkish ship Barbaros withdrawing
3. Major rise in air arrivals this year
4. Uncertainty sees fuel demand revert to crisis level
5. Govt condemns desecration of Jewish cemetery in Larissa
6. High occupancy rates at winter resorts this Christmas
more news
Today
This Week
1. Honorary chief of AmCham in Greece calls on Papoulias to help the country
2. Greek exporters report earlier repayment
3. Woman arrested trying to sell her 3-day-old grandchild
4. Uncertainty sees fuel demand revert to crisis level
5. City of Athens dishes up Christmas lunch for 800
6. Govt condemns desecration of Jewish cemetery in Larissa
Today
This Week
1. Who lost Greece
2. Europe's drama in Greece needs final act to avoid tragedy
3. Greek PM offers compromise solution with elections by end-2015
4. Ship with 200 migrants off Pylos towed to Italy after passengers refuse to stop in Greece
5. The big picture
6. Crisis of confidence will come back again and again, says Thomas Piketty
Find us ...
... on
Twitter
... on Facebook
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright 2014, H KAΘHMEPINH All Rights Reserved.