Limited trading activity was seen today in the secondary bond market despite a favorable report from JP Morgan.

In a report made public today, the American investment bank states that Greek bonds scored a much better performance compared to the rest of the Eurozone region. Special mention is made of the last syndicated issue of the five-year Greek bond, as it is referred to Greece has covered 75% of its borrowing needs for this year. This development limits the country’s need to enter the primary market until a new government is formed, likely until the end of the third quarter.

The report predicts increased market volatility in the “road to the election” in May. However, as the bank’s analyst underlines, JP Morgan remains positive on Greek bonds and predicting that Greek bonds will trade with lower margins than Italy until the end of 2023. Today, however, the margin of the Greek 10-year bond compared to the corresponding German one ranged from 2% while that of the 10-year Italian bond was at 1.85%.

In the secondary market, in the Electronic Transaction System (HDAT) the volume of transactions amounted to 14 million euros, of which 8 million euros related to purchase orders. The yield on the benchmark 10-year bond was 4.25% from 4.28% on Friday versus 2.24% on the German counterpart, bringing the spread to 2.01% from 1.98% at the end of the previous week.

Sthe foreign exchange market the euro is strengthening against the dollar today as the European currency was trading at $1.0893 in the early afternoon from the $1.0878 level that opened the market.

The indicative euro/dollar exchange rate announced by the ECB was 1.0875 dollars.