Three-year yields hit highest since 2012 Greek debt restructuring

Greek bonds declined on Monday, pushing three-year yields to the highest since the nation’s debt restructuring in 2012, after the government issued a decree to force municipalities to transfer cash to the central bank.

The decision is another sign of the worsening situation as Greece remains embroiled in a standoff with creditors as pension and salary payments come due.

The extra yield, or spread, that bondholders get on three-year notes instead of 10-year securities rose to almost 15 percentage points, signaling that investors are concerned they won’t get paid.

“Time is rapidly running out for an agreement this week and the market is increasingly nervous,” said Nick Stamenkovic, a fixed-income strategist at broker RIA Capital Markets Ltd.

Greece’s three-year yield jumped 183 basis points, or 1.83 percentage points, to 28.58 percent.

The 10-year yield climbed 38 basis points to 13.27 percent.


Subscribe to our Newsletters

Enter your information below to receive our weekly newsletters with the latest insights, opinion pieces and current events straight to your inbox.

By signing up you are agreeing to our Terms of Service and Privacy Policy.