I haven’t posted too often this year and the above chart pretty much shows why. This year, there hasn’t been too much change a not a great deal of interesting things to write about. Despite natural disasters, minority government, middle east issues, record food prices and climbing oil prices, our bond yields have been relatively …
Category Archive: Europe
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Jan 10
Australian Government Bond Yield Curve
First post in a while and the first for the new year, so I thought I’d start with a popular favourite…the Australian Government Bond Yield Curve. The above chart shows the changes in the yield curve over the pas 12 months and it certainly has been an interesting ride. Equities have been largely out of favour thanks …
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Dec 01
So much for the bailout…
Source: Bloomberg If you can’t pay your debts then you can’t pay your debts…additional credit doesn’t quite cut it. Clearly the market is unconvinced by the bailout package for the Irish and bond yields continue their upward climb. One of the desired outcomes of a bailout package is the hope it will calm markets…it clearly …
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Nov 24
Spain is the latest focus
Source: Bloomberg The above chart shows 10 year Spanish bond yields hitting record highs overnight…this intense acceleration of yields (or sell-off) is a pretty strong sign this Euro-Sovereign crisis is a long long way from over. Expect more volatility in sharemarkets yet as Spain carries more risk to Europe and the Global Economy than Ireland …
Nov 11
Increasingly looking bad for PIGS
Source: Bloomberg…from left to right…Ireland, Portugal, Greece, and Spain on the second row I found the above charts from Calculated Risk and these sharply increasing yields for each of their bonds is suggesting that the Euro-Sovereign crisis is far from over. I can only imagine there will be significant pressure on the solvency of each …
Nov 02
Ireland…not looking too good
Source: Bloomberg The really bad news globally is the Irish story…their housing price crash has led to a banking crisis and an economy that is pretty much stuffed. Whilst Irish sovereign debt spike in May along with all risky European debt the above chart shows how much worse the market is viewing Irish debt today. …