Tag: Portugal

Portugal bailout talks to commence today

Portugal bailout talks to commence today

Officials from the European Commission, the European Central Bank and the International Monetary Fund (IMF) are to meet in Lisbon today to discuss the terms of Portugal’s bailout. The bailout represents the third in the euro zone after Greece and Ireland, and will be finalised by mid-May. The €80 billion (£70 billion) rescue package comes [...]

April 18, 2011 | 0 Comments More
Portugal in bailout talks

Portugal in bailout talks

After months of speculation, it has been announced that Portugal will seek financial help. EU finance ministers are set to meet in Hungary this week when the bailout will be discussed. Portuguese borrowing costs rose to more than 10% this week – the first time since the introduction of the euro. A surge in borrowing [...]

April 7, 2011 | 0 Comments More
Moody’s downgrades Portuguese banks prior to debt sale

Moody’s downgrades Portuguese banks prior to debt sale

Portugal is looking to sell as much as €1 billion in short-term Government debt today - in a bid to help service its debts. The Government is expected to be able to issue 6 and 12-month treasury bills but the debt auction comes after Moody’s downgraded the credit ratings of seven Portuguese banks citing weakened [...]

April 6, 2011 | 0 Comments More
Moody’s downgrades Portuguese Government debt

Moody’s downgrades Portuguese Government debt

Moody’s Investors Service has today downgraded Portugal’s debt rating, for the second time in less than a month, by one notch to Baa1 from A3. Moody’s also warned that a further downgrade is possible as a bailout becomes increasingly likely for the debt-laden country. It said the downgrade was “driven primarily by increased political, budgetary [...]

April 5, 2011 | 0 Comments More
S&P downgrades Greece rating

S&P downgrades Greece rating

Standard & Poor’s (S&P) today downgraded its rating on Greece’s long-term debt by two notches to BB- from BB+, taking the nation’s debt deeper into junk status. The downgrade comes shortly after Moody’s cut Greece’s rating to B1, one notch below S&P’s new rating. The downgrade is a further blow to the euro zone as [...]

March 29, 2011 | 0 Comments More
Portugal bailout pressures continue to mount

Portugal bailout pressures continue to mount

Speculation is mounting again that Portugal may need financial assistance after a rise in bond yields. Yields on Portuguese 10-year bonds climbed to 8.17% yesterday - a record high after last week’s rise to 8%. The country’s borrowing costs have risen in recent months – mimicking what happened in Greece and Ireland – just before [...]

March 29, 2011 | 0 Comments More
Portugal’s borrowing costs rise

Portugal’s borrowing costs rise

Speculation is mounting again that Portugal may need financial assistance after a sharp rise in bond yields. In early trading, yields on Portuguese 10-year bonds climbed to almost 7.6%, their highest since the euro was introduced more than a decade ago. The country’s borrowing costs have risen in recent months – mimicking what happened in [...]

February 10, 2011 | 0 Comments More
Euro zone in no hurry to increase rescue facility

Euro zone in no hurry to increase rescue facility

Following the two-day meeting of European finance ministers in Brussels, it has emerged that Governments are in no hurry to increase the European Financial Stability Facility (EFSF) - otherwise known as the rescue fund. Greece and Ireland have received emergency bailouts from the fund and there has been speculation that weaker euro zone nations will [...]

January 18, 2011 | 0 Comments More
Euro zone ministers to discuss raising rescue fund

Euro zone ministers to discuss raising rescue fund

A meeting of euro zone finance ministers will take place today to discuss enlarging the effective capacity of the European Financial Stability Facility (EFSF). The move comes after speculation mounts that weaker euro zone nations will need to tap the facility for emergency funds. Portugal and Spain are both under scrutiny and face pressure to [...]

January 17, 2011 | 0 Comments More
Euro zone interest rates on hold at 1%

Euro zone interest rates on hold at 1%

As widely expected, the European Central Bank (ECB) today elected to keep interest rates on hold at the record low of 1% for the 20th consecutive month. Rates are expected to be kept on hold for the medium-term at least to boost the area’s economic recovery. However, there are still fears that the debt crisis [...]

January 13, 2011 | 0 Comments More
Portugal succeeds in raising £1 billion in bond sale

Portugal succeeds in raising £1 billion in bond sale

Portugal has today raised £1 billion via the sale of bonds, although analysts say this does not mark the end of the country’s problems. Portugal was successful in borrowing €1.25 billion via a bond auction but fears remain that the debt-ridden country may still require an emergency bailout from the EU - something which Prime [...]

January 12, 2011 | 0 Comments More
Portugal under scrutiny as bailout pressure increases

Portugal under scrutiny as bailout pressure increases

There is speculation that Portugal is, once again, under pressure to seek a bailout in order to prevent the euro zone debt crisis spreading further. The country’s borrowing costs continue to surge – mimicking what happened in Greece and Ireland – just before they were forced to seek emergency aid. However, Portugal continues to deny [...]

January 10, 2011 | 0 Comments More
Moody’s warns Portugal rating may be cut

Moody’s warns Portugal rating may be cut

Moody’s Investor Service has today put Portugal under review, warning that it may cut its rating by one or two notches. Investors have been nervous over recent weeks as Portugal’s borrowing costs surge and there have been suggestions that it might be forced to seek an emergency bailout, like Greece and Ireland. However, the country’s [...]

December 21, 2010 | 0 Comments More
Germany against boosting EU rescue fund

Germany against boosting EU rescue fund

A meeting of euro zone finance ministers is taking place today to discuss boosting the EU rescue fund in light of the debt crisis that is currently eating its way into the nation. The recent Irish bailout has done little to allay fears and speculation has been mounting that other weaker euro zone economies may [...]

December 6, 2010 | 0 Comments More
Portugal reiterates it does not require financial assistance

Portugal reiterates it does not require financial assistance

Portugal has, once again, denied that it does not require an EU bailout as speculation mounts that it will follow Greece and Ireland and request emergency funds. The euro has been falling over recent days over debt concerns in the euro zone. The single currency is falling as investors are nervous that the debt crisis [...]

December 1, 2010 | 0 Comments More
Euro continues to fall over debt fears

Euro continues to fall over debt fears

The euro is continuing its slide against the US dollar over debt concerns in the euro zone. The single currency is falling as investors are nervous that the debt crisis could spread to weaker economies, such as Portugal and Spain – despite reassurances from both countries that the recent Irish bailout will stabilise the euro [...]

December 1, 2010 | 0 Comments More
Contagion fears hit Italy and Belgium

Contagion fears hit Italy and Belgium

Fears have been mounting for Spain and Portugal over recent days as borrowing costs surge but spreads on Italian and Belgian bonds have now risen as Ireland’s bailout does little to reassure the markets. The euro continues to slide, hitting a two-month low of $1.31, while London’s FTSE dived nearly 118 points to 5,550. Nick [...]

November 30, 2010 | 0 Comments More
Spanish borrowing costs surge

Spanish borrowing costs surge

Fears of contagion were raised again today after Spain’s borrowing costs surged to 5.330% from 5.148% - an eight-year high. Markets are nervous about the current euro zone situation and fears are growing that Spain and Portugal could be next in line for a bailout as yields on 10-year bonds rise to dangerous levels – [...]

November 29, 2010 | 0 Comments More
Euro falls despite Irish bailout

Euro falls despite Irish bailout

The euro has today hit a fresh low despite news that Ireland’s rescue package has been signed off. The single currency dipped to $1.3181 - its lowest level since late September - as investors digested the news of Ireland‘s bailout. Full details of the rescue package, which is worth €85 billion (£72 billion), will be [...]

November 29, 2010 | 0 Comments More
Ireland’s rescue deal to be signed off

Ireland’s rescue deal to be signed off

The bailout package for Ireland has finally been signed off after days of negotiation between the Irish authorities, the EU, the European Central Bank and the International Monetary Fund (IMF). Full details of the rescue package, which is worth €85 billion (£72 billion), will be confirmed by the Irish Government once it has been approved [...]

November 28, 2010 | 0 Comments More