Sign up today for an exclusive discount along with our 30-day GUARANTEE — Love us or leave, with your money back! Click here to become a part of our growing community and learn how to stop gambling with your investments. We will teach you to BE THE HOUSE — Not the Gambler!

Click here to see some testimonials from our members!

Italian Bond Yields Plunge To 5-Month Lows After Anti-EU 5-Star Party Flops In Local Elections

Courtesy of ZeroHedge. View original post here.

Bad news for Beppe Grillo (and his anti-EU 5-Star Movement) is good news for Italian bondholders. 10Y BTP yields tumbled 9bps this morning to 2.00% – the lowest since January – after the comedian suffered heavy setbacks in local elections on Sunday, dimming the party’s prospects of leading the national government after parliamentary elections next year.

As Bloomberg reports, Five Star, led by former comedian Beppe Grillo, failed to make it to the second round of voting in Genoa, Palermo, Parma and Verona, according to projections. Centrist-oriented parties fared better in the approximately 1,000 towns and cities that voted, with the second round scheduled for June 25. Turnout was just over 60 percent. A multi-party deal on a new electoral law unraveled last week, making it highly unlikely that a snap national vote will be held this year. Investors had been concerned that an election in 2017 could lead to either a hung parliament or a win for the anti-establishment Five Star. The current legislature expires in 2018.

And the bond market cheered…

As Reuters reports, opposition parties were quick to pile on…

Matteo Ricci, head of local affairs for the ruling centre-left Democratic Party (PD). “This is a huge defeat for 5-Star. Not only are they not making the run-offs, but they are polling disastrous numbers.”

5-Star hoped to build on last year’s election successes, when it took charge of Rome. But its rule in the capital has been mired in controversy, denting its image, and its grassroots operations elsewhere have been snarled by internal feuding.

“Today shows that a year after its victory in Rome, the verdict on its ability to govern at a local level is negative,” Ricci said.


Do you know someone who would benefit from this information? We can send your friend a strictly confidential, one-time email telling them about this information. Your privacy and your friend's privacy is your business... no spam! Click here and tell a friend!





You must be logged in to make a comment.
You can sign up for a membership or get a FREE Daily News membership or log in

Sign up today for an exclusive discount along with our 30-day GUARANTEE — Love us or leave, with your money back! Click here to become a part of our growing community and learn how to stop gambling with your investments. We will teach you to BE THE HOUSE — Not the Gambler!

Click here to see some testimonials from our members!