Greek bond yields hit distressed levels

Greek bonds issued following Friday's €206bn debt exchange are trading at distressed levels, suggesting the deal has failed to reassure investors.

A series of 20 bonds with maturities of 11 to 30 years began trading at quoted priced of between 23 and 26.5 cents in the euro, the FT reports. Greece's yield curve is still inverted, with 11 year bonds yielding about 18.1% and the 30-year bond 13.4%, suggesting investors are preparing for more distress. The yields are the highest in the eurozone, ahead of Portugal, the country expected to be the next victim of the eurozone crisis. A much anticipated debt swap deal between the Greek government and its creditors was passed on Friday, and although many hoped the deal would prove a bo...