Lisbon Yes vote may cut cost of loans
The prospects of cheaper debt for the state was forecast also by Danske Bank at a recent Dublin seminar. Five-year credit default swaps (CDS) on Irish government debt contracted to 130.5 basis points from 138.5 bps on Friday as investors became more positive on Ireland.
By late Friday 10-year Irish government bond yield spread over German Bunds narrowed by 6 basis points since the European settlement close on Friday to 159 bps, according to Reuters.