Greek government bonds tumble again

Spreads on Greek government bonds have risen sharply in the past week, with investor sentiment deteriorating despite the European Union’s commitment to support the struggling southern European country.

Greece completed its latest bond issue on March 29, a €5 billion seven-year offering carrying a nominal coupon of 5.9%. The deal was priced at a discount of 99.428, giving an issue spread of 334.3 basis points over German Bunds. But by the close on March 31, the price had tanked to 97.64 for a