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Greece vs Germany

BONDS
  • Some perplexing price action in Greece.
  • Although, Italy, Spain and Portugal Yields moved lower on the ECB FT piece, Greek 10yr Yield has extended gains, and target the psychological 4% ahead of the 2020 peak and highest level since January 2019 at 4.184%.
  • Italy, Spain, Portugal are all trading tighter against the German 10yr, while Greece is 17.9bps wider.
  • Lack of liquidity, could be a driver, but there hasn't been any new news to justify the extent of the move.

Chart source: MNI/Bloomberg

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