Bond yields rise after sell-off but Ireland ‘on track’ to exit bailout programme

Irish bond yields have risen by 25 basis points over the past two weeks on the back of a global sell-off of risky assets, although the country remains on track to exit the EU/IMF bailout programme later this year.

Since the beginning of the month, there has been a sell-off of emerging market stocks and periphery eurozone debt in particular, although core stocks have also been affected.

“Ireland has been caught up in this sell-off, so it best to see the rise in Irish bond yields in that context,” says Ulster Bank’s chief economist, Simon Barry.