Greece Update


After Greece officially requested financial help on Friday, markets responded favorably. But that lasted no more than a few hours. Here’s today’s news:

Financial markets upped the pressure on debt-ridden Greece, as investors remained skeptical about its long-term solvency despite assurances that a rescue loan will help pay off a chunk of its crushing debts in coming weeks.

….Analysts had said they expected the euro’s bounce to be short-lived. Now it appears the so-called relief rally after Greece on Friday formally requested financial aid has already run its course….Underscoring those worries, Greek 10-year bond yields soared to 9.60%, from 8.70% late Friday, as the yield premium over comparable German debt, the euro-zone benchmark, widened to 6.55 percentage point, from 5.63 percentage point late Friday.

This is just FYI. I continue to think that Greece’s prospects look very grim, IMF bailout or no.