Bond Investors Bite Their Nails as Greece Votes in Euro Elections
"Greece must show it has the stability it deserves through the sacrifices of the Greek people. And it is in the hands of the Greek people and their vote to decide whether we move ahead with stable steps or we let the country go backwards again." said Samaras in live television comments the day after the first round of voting. No doubt this was an effort to steer voters away from the anti-EU and anti-austerity rhetoric that has lured voters away from his party.
The country's political uncertainty, combined with speculation that the government was poised to levy a retroactive tax on profits made through trading Greek government bonds in recent years, led to a Greek bond selloff.
These claims have since been denied by the Greek government's finance minister, Yiannis Stouranas, but not before a domino effect had been sparked with Italian bond yields following suit.
Bond markets in the region remain jittery as investors wait to see how the local and European election results unfold in Greece and beyond.>>Read More: JD.com IPO Largest-Ever for Chinese Company as Alibaba Looms >>Read More: Why Facebook Gets Mobile Better Than Anyone Else >>Read More: GM Needs to Do This Now to Avoid Bankruptcy At the time of publication, the author held no positions in any of the stocks mentioned. This article represents the opinion of a contributor and not necessarily that of TheStreet or its editorial staff.
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