Market concern that a Greek debt crisis could expand to Italy negatively affected sentiment in the domestic electronic secondary bond market on Monday, with the yield spread between the 10-year Greek and German benchmark bonds widening further to 14.05 percent. The Greek bond yielded 16.61 pct and the German Bund 2.66 pct. There was no turnover in the market for the second consecutive session.
In interbank markets, interest rates moved higher. The 12-month rate was 2.19 pct, the six-month rate 1.81 pct, the three-month rate was 1.60 pct and the one-month rate 1.43 pct.