Within the EURO AREA considering the TARGET 2 balances of participating Central Banks, up to July '22, Italy boasted the LARGEST DEFICIT €-640 billion EURO a MONSTRE DEFICIT IN THE FINANCIAL ACCOUNTS, that hinders overall ITALY BALANCE OF PAYMENTS, considering that the country could eventually achieve a Balance of Trade surplus that it's a tiny amount compared to the €-640 billion EURO TARGET 2 DEFICIT, much larger than GREECE € -109 billion EURO.
Institutional Investors and the bond market, in general, will continue to see a considerable DEFAULT RISK or some sort of Sovereign Debt YIELD CURVE Distress in the EURO AREA, where ITALY's SOVEREIGN DEBT EXPOSURE ARE AT RISK OF SOVEREIGN DEBT HAIRCUT AND RESTRUCTURING, that will have a ripple effect on Institutional investors and debt holders.
The risk-free rate 10Y BTP YIELD will rise to 5.25% to reflect a much higher risk premium of SOVEREIGN DEBT RESTRUCTURING AND DEBT HOLDERS HAIRCUT.
Institutional Investors and the bond market, in general, will continue to see a considerable DEFAULT RISK or some sort of Sovereign Debt YIELD CURVE Distress in the EURO AREA, where ITALY's SOVEREIGN DEBT EXPOSURE ARE AT RISK OF SOVEREIGN DEBT HAIRCUT AND RESTRUCTURING, that will have a ripple effect on Institutional investors and debt holders.
The risk-free rate 10Y BTP YIELD will rise to 5.25% to reflect a much higher risk premium of SOVEREIGN DEBT RESTRUCTURING AND DEBT HOLDERS HAIRCUT.