Greek bond market closing report

Speculation over a possible restructuring of Greek debt, despite official rejections by the Greek government and European authorities, are pushing higher Greece’s Credit Default Swaps (CDS), to levels above 10 pct. In the Greek electronic secondary bond market, the yield spread between the 10-year Greek and German benchmark bonds rose slightly to 944 basis points on Tuesday, from 942 bps on Monday, with the Greek bond yielding 12.885 pct and the German Bund 3.44 pct.

Turnover in the market remained a low 23 million euros, of which 21 million were sell orders and the remaining 2.0 million euros were buy orders. The five-year benchmark bond was the most heavily traded security with a turnover of 9.0 million euros.

In interbank markets, interest rates were largely unchanged. The 12-month rate was 2.09 pct, the six-month rate 1.62 pct, the three-month 1.32 pct and the one-month rate 1.13 pct.