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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?


To: Snowshoe who wrote (107490)9/9/2014 6:28:51 PM
From: Snowshoe  Respond to of 219885
 
Spanish Bonds Tumble as Scotland Swing Spurs Catalan Comparisons
bloomberg.com

Spain’s government bonds fell, undermined by the Catalan region’s crescendoing push for independence, as polls 1,000 miles away in Scotland showed increased support for its own bid to break from the U.K.

Spanish 10-year yields climbed the most in close to four months, the biggest surge among euro-area securities. A survey today gave fresh evidence of Scottish support for leaving the 307-year-old union before voters decide on Sept. 18. Catalonia has defied Spain’s central government with plans to hold a Nov. 9 referendum on its own status. Most euro-area bonds fell as investor demand waned amid a lack of information on the scope of the European Central Bank’s asset-purchase plan.


“It’s a question of raising the flag to more event risk,” Harvinder Sian, a fixed-income strategist at Royal Bank of Scotland Group Plc in London, said today by phone. “Where the U.K. government has decided to guarantee all government debt, the Catalonia region is too large for the rest of Spain to absorb. It’s a much more problematic issue for Spain with regard to its debt markets.”