Slovenian Bond Yields Higher Still as Markets Step up Pressure
Slovenian bonds traded at a yield of 7.23% just before midday, up 0.49 percentage points over Friday, but then returned below the seven percent marker to 6.93% in afternoon trading. The yield on Spanish bonds was 7.11% before noon and 7.06% in afternoon trading.
Markets seem to be exerting increasing pressure before today's meeting of eurozone finance ministers, who will attempt to hash out the bailout programmes for Spain and Greece, and tweak the Greek bailout plan.
The rising yield on Slovenian bonds is also attributed to speculation that Slovenia may be next in line to ask for a bailout.
Slovenian and EU officials have denied such rumours, which some commentators suggested spread after PM Janez Janša warned of dire consequences in prodding the opposition to support amending the Constitution with the golden fiscal rule.
In response Janša denied last week that Slovenia could be next in line for an EU bailout, but warned that failing to adopt the golden fiscal rule would lead to even more painful cuts.