Tainted Alpha

I have to ask why? This cannot end well.

Finacial TImes story: Greece set to return to finance markets.

Greece is preparing a make-or-break return to the financial markets next month as it plans to raise about €4bn in its first borrowing attempt since last month’s bail-out by the European Union and International Monetary Fund.

However, investors warned that the Greek move would be a gamble because a poor auction could hit sentiment hard. The big test is how much Athens will have to pay in interest rates to attract buyers. Unsustainably high premiums would alarm investors and undermine confidence.

I think this is a bad idea, a possible negative trigger for other debt burdened counties.

Greece

This entry was posted on Monday, June 28th, 2010 at 5:50 am and is filed under Markets. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.