You really have to dig to find information about the continuing sovereign debt crisis in Europe. The only article on the subject I saw on Marketwatch, a large financial website, had the story buried within a piece about the U.S. Dollar:
Renewed pressure on bonds in the euro-zone periphery, as well as pressure on Belgian debt, helped drag down the single currency, strategists said. Fears that rising borrowing costs could force Portugal to seek a bailout were renewed as Lisbon outlined plans Thursday to tap credit markets next week.
Proposals to potentially require senior debtholders to take write-downs in the event of future bank crises also led to a selloff in peripheral bonds, pushing higher bond yields and the cost to insure the debt.
Even Greek bonds are still falling, with the premium investors demand to own them instead of German bonds hit a fresh intraday high, according to Dow Jones Newswires.
I searched and couldn’t find any details at The Wall Street Journal.
Thankfully, Bloomberg has the story:
Portuguese Bonds Lead Peripheral Euro-Area Decline Amid Looming Auctions
Portuguese government bonds led declines by securities from the euro-region’s most indebted nations amid concern demand at auctions next week may flag.
Spanish 10-year bonds fell, driving the extra yield investors demand to hold the securities instead of similar- maturity German bunds to the highest in more than a month. The European Union proposed yesterday that bank regulators be granted powers to write down debt in future crises. Belgian debt dropped amid a political impasse. German notes were little changed after the U.S. added fewer jobs than analysts estimated.
The yield on Portuguese 10-year bonds rose 16 basis points, after a 27 basis-point increase yesterday, to 7.34 percent at 4:24 p.m. in London. The 4.8 percent security maturing in June 2020 fell 0.955, or 9.55 euros per 1,000-euro ($1,295) face amount, to 83.10. The yield is up 33 basis points since Dec. 30.
The cost of insuring against default on European government debt, measured by the Markit iTraxx SovX Western Europe Index, increased four basis points to a record 217. Contracts on Portugal rose 10 basis points to 535, the highest level since Nov. 30, according to CMA. Spain increased 4.5 basis points to 353, Italy climbed 9 to 251, and Belgium reached a record 249.
Spanish 10-year yields climbed three basis points to 5.52 percent. The yield premium to bunds increased to 263 basis points, after reaching 264 basis points, the most since Dec. 1.
Italian 10-year bond yields rose four basis point to 4.82 percent, with Irish yields increasing six basis points to 9.25 percent.
In case you thought the sovereign debt crisis was over, just the opposite. We are still in the early stages of it.