Italy and Spain drive fears to new levels–and Treasury yields to new lows as investors look for safety
Buyers looking for safety have dropped the yield on the 2-year Treasury note to a record low of 0.2803%. The 10-year bond yields less than 2.5% for the first time since November 2010
Now it’s Italy putting the euro in the hot seat
Yields on Italy’s 10-year bonds were at 5.55%, a nine-year high, at 1:45 p.m. in London today. That puts Italy perilously close to the 7% threshold that triggered bailout rescue requests from Greece, Ireland, and Portugal