Anglo weighs heavily on bonds

NCB Stockbrokers said uncertainty over how much the Government will have to inject into the nationalised Anglo Irish Bank is weighing on Irish bonds.

The difference in yield, or spread, between 10-year Irish securities and 10-year German bunds rose to 271.9 basis points yesterday from 227.5 basis points on August 2.

Ireland will auction a 4% bond maturing in 2014 and a 5% bond maturing in 2020 on August 17, the country’s National Treasury Management Agency said.