Portuguse govt bond yields hit fresh highs

LONDON, March 31 (Reuters) – Portuguese ten-year government
bond yields hit fresh euro lifetime highs as the country’s
budget deficit missed EU-agreed targets and S&P downgraded local
banks’ ratings.

Portugal’s budget deficit reached 8.6 percent of gross
domestic product in 2010, above a target of 7.3 percent agreed
with Brussels, statistics agency INE said on Thursday.

The Portuguese/German 10-year government bond yield spread
was last 508 basis points, 12 bps wider on day. Ten-year yields
(PT10YT=TWEB: Quote, Profile, Research) hit a fresh euro lifetime high of 8.476 percent.
(Reporting by Marius Zaharia and Kirsten Donovan)

Portuguse govt bond yields hit fresh highs