The costs of borrowing for the State have fallen sharply since the election, defying fears of some politicians and commentators, despite no agreement over a new government.

There is little to no significant political risk flashing red in Irish bond prices, senior experts have said, although that might change in the event that a hung Dáil leads to a prolonged period in forming a new government.

The euro has tumbled this morning against other currencies because of the Greek debt crisis.