Arab Today, arab today in europe bond market still in trouble
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In Europe, bond market still in trouble

Arab Today, arab today

Arab Today, arab today In Europe, bond market still in trouble

Brussles - UPI

European Union Council President Herman Van Rompuy said he was astonished a bailout for Greece did not stop bond yields from rising in Europe. Yields rose for both Italian and Spanish 10-year bonds, posting a record spread against German bonds, where yields dropped, the EUobserver reported Tuesday. \"Astonishingly, since our summit the cost of borrowing has increased again for a number of euro-area countries. I say astonishingly, because all macro-economic fundamentals point in the opposite direction,\" Van Rompuy wrote in an editorial piece published in various newspapers, the EUobserver said. Van Rompuy said investors were \"totally out of line with the fundamentals.\" He also said downgrading the credit rating for Spain and Italy was \"ludicrous.\" The next bailout for a European country might be needed in Cyprus, the EUobserver said. An explosion at the main power plant on the island and exposure to Greek debt has credit rating agencies concerned Cyprus is past the point where it can correct its economy by itself.

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