When’s the best time to start buying peripheral bonds?
ECB press conference time of course!
FT Alphaville hears that while the world was focused on ECB president Jean-Claude Trichet dodging questions about more government bond purchases… his crew were busy in the market sneaking through the following (via a trusty source):
… as Trichet started to speak , his ECB troops stepped into the market to buy as many peripheral bonds as they could, particularly Portugal and Ireland. Started evidently in bidding for 10 -25 mln € clips and then moved onto 100 mln € clips … which is very rare indeed evidently
And further corroborated via Reuters:
RTRS-TRADERS CITE ECB BUYING OF PORTUGUESE AND IRISH GOVERNMENT BONDS
You’ve got to love those ECB Jedi mind tricks.
Related link:
These aren’t the facilities you’re looking for – FT Alphaville