Back above 5.50% this morning from low yields of 5.25% on Tuesday.
Spain’s insistence on an unrealistic guarantee from the ECB that the central bank drive Spanish/German yield spreads down to 200 bp from 420 bp today has lowered the odds of Spain tapping the ECB’s backstop anytime soon.
We’ll see what Draghi has to say on the subject at the bottom of the hour.
