Ireland making good on its threat to impose losses on senior bank bondholders would precipitate a funding crisis for lenders across southern Europe, according to CreditSights Inc.
Greece’s comeback from an international bailout that roiled world markets and threatened to cause a breakup of the euro is underway.
Anglo Irish Bank Corp. offered to exchange 1.6 billion euros ($2.2 billion) of subordinated debt for new bonds at a rate of 20 cents on the euro as the nationalized lender seeks to generate capital.
Anglo Irish Bank Corp. government- guaranteed senior bonds fell for a sixth day as investors wagered they’ll be forced to share the cost of bailing out the nationalized lender with taxpayers.
Anglo Irish Bank Corp. subordinated bonds plunged after the government said it’s working on ways of sharing the lender’s losses with holders of junior notes.
London businesses are underestimating the effect of the 2012 Olympic Games in the British capital and need to improve their planning, accounting firm Deloitte LLP said.
Credit-default swaps on European debt rose as a failed bank merger in Spain and stress tests in Ireland fueled concern the cost of saving the region’s financial system will be greater than forecast.
"The governor's comments have helped reassure the market that a bail-in of the bonds probably won't be necessary."
- Tom Jenkins on Jul 16, 2014