Irish bonds (GIGB10YR:IND) hits 7.304 - bonds referred to as "bidless" by Zerohedge

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10 Year Irish bonds have just hit an all time wide spread to bunds of just over 480 bps, a jump of 100 bps in a week, as Irish bonds are essentially bidless.

Irish Bonds Plunge: New Bund Spread Record As Euro Pushes Ever Higher; Ultraviolence To Follow? | zero hedge

A few comments below are a bit scary....

Ireland has no hope of ever paying debts. The future is default, no matter what we pretend.
They should get their central bank to print up some money so they can just buy that debt and drive the price up. Oh, wait...
Irish Bonds Plunge: New Bund Spread Record As Euro Pushes Ever Higher; Ultraviolence To Follow? | zero hedge
 


HarshBuzz

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this is hardly 'news', you should merge it with the 'run on Ireland' thread
 

EvotingMachine0197

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And our bank stocks are tanking proportionally.

Time for ESF money. This charade of keeping face has to stop.
 

QuizMaster

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I don't understand why the euro continues to be strong. Who do they think is going to be paying for this mess, at the end of the day?
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dalywise

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As I said elsewhere, the bond markets have decided that it doesn't matter what Ireland does anymore. If we cut a huge amount of public spending it will drive the economy further into recession and destroy any hopes of getting the borrowing level to 3% of GDP by 2014. If we don't cut, it will mean that we have abandoned any hope of getting to 3% by 2014. The game is over.

If Cowen had any sense he would use McDaid's resignation as an excuse to cut and run to the country. Otherwise by February, he'll be the guy at the airpoort picking up the IMF guys.
 

johnfás

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I don't understand why the euro continues to be strong. Who do they think is going to be paying for this mess, at the end of the day?
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Because they know Germany will eventually bail the system out because Germany has to in order to maintain its exports within the European market.

I wouldn't call this ground breaking news - been clear for quite a while that Ireland will announce a negotiation process regarding its debt, in the context of the European Stability Fund, early next year. The private negotiations will already be well under way.

We do have some bargaining power though - they're all terrified of contagion which could follow our reaction.
 
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Oblivion.

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If Cowen had any sense he would use McDaid's resignation as an excuse to cut and run to the country. Otherwise by February, he'll be the guy at the airpoort picking up the IMF guys.
We don't have that much time.
 

lobby

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I believe that the "trading" on Irish bonds closes at 4.15pm Irish Time, 12.15pm on the Bloomberg site.
 

Panopticon

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The post linked to is just illiterate. The author is putting on the bravado of a trader without any of the judgement and intelligence being visible.
 

McDave

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I don't understand why the euro continues to be strong. Who do they think is going to be paying for this mess, at the end of the day?
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Because as a proportion of the Eurozone, the Irish economy is tiny.

I think there's quite a lot of choreography going on. I reckon there'll be some manner of a bail out, but the ECB is trying to ensure it is as small as possible, and possibly delay it until the Eurozone rulebook has been augmented and the private sector is put in the frame for taking pain.

There's always the outside possibility that Ireland can stave off a bail out. But it's a remote possibility at this stage. In reality its more like damage limitation, and putting the brakes on similar outcomes for other PIGS.

Sad really how the Irish people, and the government it tolerated for so long, have managed to screw up so badly. If we had any guts, we would ensure that Ahern and McCreevy never step foot in this country again.
 

Holy Cow

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Because as a proportion of the Eurozone, the Irish economy is tiny.

I think there's quite a lot of choreography going on. I reckon there'll be some manner of a bail out, but the ECB is trying to ensure it is as small as possible, and possibly delay it until the Eurozone rulebook has been augmented and the private sector is put in the frame for taking pain.

There's always the outside possibility that Ireland can stave off a bail out. But it's a remote possibility at this stage. In reality its more like damage limitation, and putting the brakes on similar outcomes for other PIGS.

Sad really how the Irish people, and the government it tolerated for so long, have managed to screw up so badly. If we had any guts, we would ensure that Ahern and McCreevy never step foot in this country again.
The debts are a finate number. The ECB knows exactly how much is need to plug the hole. Once Ireland is sorted the markets move to the next weakest.

There is no way Ireland can survive and meet the 3% bu 2014 without EU/IMF help/slavery.

Goodbye sovereignty, sold out to protect those who were close to Fianna Fail.

A party that sells the nations children to pay for the debts of its friends.
 

McDave

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Incidentally, 10-year bonds at 7% represent an enormous transfer of wealth from Ireland into private hands. I'm not sure people really appreciate how much wealth is haemorrhaging out of this country. It really represents the ultimate betrayal of a society by an utterly incompetent and corrupt government.
 

constitutionus

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I don't understand why the euro continues to be strong. Who do they think is going to be paying for this mess, at the end of the day?
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its not strong.

it just looks strong when compared to a US dollar that about to lay into QE2.

the details on that will be firming up by friday and from what ive been hearing your looking at the dollar going back to 1.50 again by christmas.

other currencies have been running around trying to out devalue each other for the last few weeks (except the chineese which is pissing off the yanks :) )
 

Mister men

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Is'nt this been discussed elsewhere on this forum? Anyway nothing will change, the delusion continues unabated in the media and the general Irish public. We will never pay back the debt and that's a certain.
 


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