“They have been thrown to the wolves,” said Stuart Thomson, who helps manage $46 billion in bonds at Resolution Investment Management Ltd. in Glasgow, Scotland. `It’s much easier to bring inflation lower if you’re willing to have a recession in economies like Spain, Italy and Ireland.” […]
The Euribor has risen almost 30 basis points since June 5 when Trichet first signaled higher rates. That made new mortgages more expensive and will make existing ones costlier as 98 percent of Spanish home loans and around 80 percent in Ireland are on a variable rate. The jump in costs has sapped demand for housing.”
The Euribor has risen almost 30 basis points since June 5 when Trichet first signaled higher rates. That made new mortgages more expensive and will make existing ones costlier as 98 percent of Spanish home loans and around 80 percent in Ireland are on a variable rate. The jump in costs has sapped demand for housing.”
