Greek and Span­ish bonds on the rise

Kathimerini English - - Front Page -

Span­ish gov­ern­ment bonds rose yes­ter­day, push­ing 10-year yields to the low­est since 2009, as im­prov­ing euro-area re­tail sales and Ger­man fac­tory or­ders added to signs the re­gion’s re­cov­ery is gath­er­ing mo­men­tum. Greek 10-year se­cu­ri­ties ad­vanced for a sec­ond day, with yields fall­ing to the least since May 2010. “The

Ho­tels in Athens are show­ing an av­er­age 4.2 per­cent de­cline this month com­pared to Jan­uary 2013, ac­cord­ing to data com­piled by online book­ing ser­vice Tri­vago, as a bench­mark twin room costs 68 eu­ros per night against 71 eu­ros last year. Com­pared to Jan­uary 2009, the drop amounts to 33.3 per­cent. euro-pe­riph­eral coun­tries have come a long way from the near-death sit­u­a­tion two years ago,” said So­eren Mo­erch, head of fixed in­come trad­ing at Danske Bank A/S in Copen­hagen. Greek 10-year yields slid 11 ba­sis points to 7.73 per­cent af­ter de­clin­ing to 7.63 per­cent, the low­est level since May 19, 2010. Euro­pean gov­ern­ment bonds ral­lied af­ter Ire­land raised 3.75 bil­lion eu­ros from a 10-year sale through banks on its re­turn to fi­nan­cial mar­kets fol­low­ing an exit from an in­ter­na­tional bailout.

Al­ba­nian con­trac­tion.

Al­ba­nia’s econ­omy shrank 2.3 per­cent year-on-year in the third quar­ter of 2013, as out­put fell in all sec­tors bar agri­cul­ture dur­ing a lengthy change of gov­ern­ment af­ter a June elec­tion. Out­put dropped by 10 per­cent in con­struc­tion, by 4.6 per­cent in man­u­fac­tur­ing and by 3.4 per­cent in the trade, ho­tel and restau­rant sec­tor, de­spite the sum- mer tourist sea­son. Al­ba­nia’s econ­omy posted strong growth of around 6 per­cent per year from 2000, al­beit from a low base. But it be­gan los­ing steam with the on­set of the global eco­nomic down­turn in 2008 and par­tic­u­larly the acute crises in neigh­bor­ing Greece and Italy.

Look­ing east.

Turkiye Fi­nans Katilim Bankasi AS, the Is­lamic lender ma­jor­i­ty­owned by Na­tional Com­mer­cial Bank of Saudi Ara­bia, is look­ing to Malaysia for fund­ing as po­lit­i­cal risk boosts bor­row­ing costs in Tur­key. Turkiye Fi­nans ap­plied to the Cap­i­tal Mar­kets Board in Ankara to sell as much as 3 bil­lion ring­git ($914 mil­lion) in Is­lamic bonds to qual­i­fied in­vestors in the South­east Asian na­tion over 20 years, Ex­ec­u­tive Vice Pres­i­dent Ali Guney said. The lender plans to com­plete a de­but sale for the ring­git equiv­a­lent of be­tween $100 mil­lion and $150 mil­lion by early March, he said.

Newspapers in English

Newspapers from Greece

© PressReader. All rights reserved.