ECB throws open euro door for periphery

By Craig McGlashan
08 May 2014

Eurozone peripheral sovereigns have an opportunity to test the euro market next week, after dovish comments from European Central Bank president Mario Draghi on Thursday helped add to a remarkable rally in the issuers’ yields since the start of the year.

Ireland and Spain had already taken advantage of the positive sentiment before Draghi’s comments, slashing their funding costs at auctions on Thursday morning.

Draghi’s hints that the central bank could embark on efforts to boost inflation in June — with analysts expecting cuts to the refinancing and deposit ...

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