June 29, 2015
By Arthur Beasley
...Ireland is not immune. (click here) As if to prove the point,
Irish bank shares have taken a hit today in line with international
conditions. Bank of Ireland shares dropped more than 5 per cent after
the market opened, although the decline eased to 3.4 per cent at
lunchtime. It was the same for Permanent TSB shares, down 4.65 per cent
in early morning and down 2.27 per cent at lunchtime.
Although Ireland’s huge national debt means the State
will be at the mercy of money markets for decades to come, Irish
borrowing costs were largely unperturbed this morning. Italian, Spanish
and Portuguese bond yields were first to jump, illustrating their
vulnerability events in Greece. German borrowing costs eased, a
reflection of the country’s safe have status in times of woe.
But the interest on Irish 10-year bonds, the standard
barometer of the State’s creditworthiness, was largely unchanged this
morning at 1.6 per cent...
