Stable returns for greek Bonds

The greek bond market remains the most lucrative on the European scene. Athens has in fact placed 1.14 billion of six-month bonds offering a yield of 2.97%, unchanged from the previous auction. The demand from institutional investors was stable with a coverage ratio of 1.30. Yields also remain stable with decades of greek bonds offering a yield of 8.10% to the 70.30 price. As for bonds maturing in 2019 and 4.75% coupon, the rate stood at 8.60 compared with a price in area 91. The stabilization of prices is determined by the GDP, no longer in free fall, but in the process of settling.

Since last June, in addition, the ECB has ruled that, although devoid of the minimum rating requirements, the Athens bonds may be held as collateral as "collateral" if the Greek banks will require funds to the European Central Bank.

In Greece, GDP grows at a lower rate than estimated by the Office of National Statistics. In mid-August, in fact, it had been expected to grow by 0.3% in GDP in the second quarter, while the final figure showed an expansion of just 0.2%. In the first quarter, the Greek GDP had recorded a 0.2% contraction. On an annual basis, GDP fell by 0.9% more than the 0.7% indicated in the preliminary estimate. According to the latest forecasts from the European Commission, the Greek economy is expected to remain in recession for the entire 2016.