Latest news and stories about sovereign debt in Portugal for expats and residents.
The credit rating agency Fitch has improved Portugal's sovereign debt rating to 'A+', citing a stable economic outlook.
The Nova Economics Club & ECO column is a partnership between ECO and NEC, the Nova SBE economics club, dedicated to the dissemination of knowledge and academic research with institutional partners. Today, Greece is financing itself with lower interest rates than France. Portugal is currently financing itself with lower interest rates than...
European banking institutions are currently holding their highest levels of sovereign debt since 2019, with the Portuguese banking sector identified as having the highest level of exposure.
France's risk returns to the 'hot days' of the debt crisis and pressures the ECB to act. Analysts believe that elections in the neighbouring country could be an 'opportunity to overcome political deadlock'.
The credit rating agency Scope has improved Portugal's sovereign debt rating to A+, maintaining a stable outlook for the country's economic performance.
The Bank for International Settlements warns of the sharp rise in sovereign bond yields, especially for longer maturities. The organization also highlights increased volatility, the exposure of hedge funds, and the foreign exchange intervention that helped curb the yen's depreciation.
I have already addressed the figure of the 'bond vigilantes' in this space. The term, coined in the 1980s by economist Ed Yardeni, describes investors in the bond market who, faced with expansionary fiscal policies, sell sovereign debt en masse. This action causes yields to soar and forces governments to correct their trajectory. The quote from James...
The credit rating agency Fitch has improved Portugal's sovereign debt rating to 'A+', citing a stable economic outlook.
The credit rating agency Fitch has raised Portugal's sovereign debt rating to A+, a move described as a significant achievement for the country.
The decrease in public debt levels is positioning Portugal for a potential credit rating improvement from the agency Fitch.
The European Stability Mechanism (ESM), the Eurozone's bailout fund and Portugal's largest creditor, has returned to international markets to issue debt in US dollars to diversify its investor base. The institution raised 2 billion dollars through a new five-year bond, though it had to offer a higher interest rate (4.375%) compared to a similar issuance a year ago (3.75%). While demand remained solid at 6.1 billion dollars, it was significantly lower than the 13.3 billion dollars recorded in the previous year. The ESM, led by Pierre Gramegna, maintains that the dollar program is essential for reaching non-European investors, even as the euro remains its primary funding currency. The ESM currently holds approximately 23 billion euros of Portugal's sovereign debt.
The credit rating agency KBRA warns that the ongoing conflict in the Middle East represents a significant risk factor that could negatively impact the credit quality of Portuguese sovereign debt.
Portuguese debt interest rates rose this Wednesday for two, five, and 10-year terms compared to Tuesday, aligning with those of Spain, Greece, and Italy, and with Germany's for the longest term. In early morning trading in Lisbon, the 10-year interest rate increased to 3.429%, compared to 3.417% on Tuesday.
Moody's is evaluating Portuguese sovereign debt this Friday, the 22nd, one week after DBRS. Analysts consulted by Lusa anticipate the rating will be maintained, though an improvement in the outlook is possible. Experts highlight Portugal's credible status in Europe and its ability to finance itself at lower costs than major economies, despite global geopolitical and inflationary pressures. While public debt is on a downward trajectory, analysts suggest the agency may remain cautious due to energy price risks and the impact on tourism, though an upgrade to the outlook remains a plausible scenario.
DBRS is evaluating Portugal's sovereign debt this Friday, the 15th, for the second time this year. Analysts consulted by Lusa anticipate that the 'A' (high) rating will be maintained, while the outlook could potentially improve. Experts note that the current macroeconomic landscape remains stable, reinforcing Portugal's credibility in European markets, despite ongoing geopolitical risks and inflation concerns. Fitch is also set to decide on Portugal's rating today and is expected to maintain its current classification.
Fitch Ratings is expected to maintain Portugal's current credit rating, but the country's outlook may improve. This suggests stability in Portugal's sovereign debt assessment, with potential positive shifts depending on economic or fiscal developments. The article highlights Fitch's cautious optimism regarding Portugal's economic prospects, emphasizing that while the rating remains unchanged, there is room for an upgraded outlook if certain conditions are met.
While some of Europe's largest pension funds are publicly announcing that they are selling US government debt due to concerns about American public finances and the political instability created by Donald Trump, Portuguese asset managers remain firm and do not expect to reduce their exposure to Treasuries this year. The overall position of ...
Two of the world’s five biggest economies are reducing their holdings of US government debt, selling Treasury securities and lowering exposure to American sovereign bonds.
Portugal recorded a record demand of almost €50 billion in the 10-year syndicated debt issuance carried out this Thursday, an operation through which it raised €4 billion, corresponding to 17% of this year’s financing target. The IGCP said that more than 280 orders were placed (also a value ...
Portugal is preparing to carry out a syndicated debt issuance. The IGCP has hired banks to help place a new ten-year Treasury bond line, according to financial news agency IFR. The financing operation is underway and is expected to be completed this Thursday. There are still few details about ...
