Will Greece default? Mecklai Financial answers

Mecklai Financial has come out with its report on Greece Bond Yield.Greece on the verge of defaulting on its debt payment, compelling them to demand higher premium both in short and long-term securities thus pushing 2-year yield to record euro era high at 19.72% and 10 year yield at 14.40%.

Above graph depicts, market has once again grabbed attention towards Greece on the verge of defaulting on its debt payment, compelling them to demand higher premium both in short and long-term securities thus pushing 2-year yield to record euro era high at 19.72% and 10 year yield at 14.40%.

Further restructuring would dampen the lenders (major European banks) especially top notch French banks have largest exposure of Greek bonds. Later Greece officials have denied on the same but could save neither treasury yields nor euro to pull back.

In near term, the yield of the ailing nation are likely to remain at these elevated rates unless a concrete collaborative measure is taken by ECB and allied members. Investors to be watchful on the how political drama takes place in Euro region over peripheral regions and combined effort from EU, IMF and ECB to prevent from default.

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