Australian Corporate Bond Risk Rises Most in Six Weeks on Europe

Australian corporate bond risk rose the most in more than six weeks as French Socialist Francois Hollande was elected President and Greek voters flocked to anti- bailout parties, stoking concern austerity efforts in Europe may be derailed.

The Markit iTraxx Australia index surged 7 basis points to 165 basis points as of 8:32 a.m. in Sydney, according to Deutsche Bank AG.

That’s set for the biggest daily increase since March 22 and the highest close since Jan. 18, according to data provider CMA.

To contact the reporter on this story: Sarah McDonald in Sydney at smcdonald23@bloomberg.net

To contact the editor responsible for this story: Garfield Reynolds at greynolds1@bloomberg.net

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