Assuming prosecutors can clear legal challenges against applying retroactively the law's longer statute of limitations -- from five years to six -- the next step will be deciding whether to reopen the investigative files of top banking executives.
Germany’s 10-year bond yields were in their narrowest range this year as investors refrained from taking positions while U.S. lawmakers struggled to end a 16-day partial government shutdown and avert a default.
Greece still faces a “substantial” default risk as insolvency prevents the nation from repaying its debt when its bailout program expires in three years, Pacific Investment Management Co. fund manager Andrew Bosomworth said.
Targeted asset purchases by the European Central Bank to combat deflation risks would pose difficulties in implementation, Andrew Bosomworth, Pacific Investment Management Co.’s Germany director, wrote in the Financial Times Deutschland.
Germany’s government bonds fell, pushing 10-year yields to the highest level in three weeks, as speculation that U.S. lawmakers will reach agreement on raising the nation’s debt limit damped demand for the safest assets.
The European Central Bank may have to take losses on its Greek sovereign bonds because the country is unlikely to repay its debt in full, Andrew Bosomworth, managing director at Pacific Investment Management Co. said.