Widening peripheral bond spreads: Is this time different?

- "Although peripheral euro area sovereign yield spreads have widened to levels last reached at the peak of the fiscal crisis earlier this year, the EUR has not weakened significantly. In our view, the banking stress tests are the main reason why this time is different."
- "The BIS’s triennial survey of FX markets allows a comparison of the pre- and post-crisis world. FX markets seem unchanged, but there are early signs of some new trends."

Barclays FX Weekly Brief 20100902