Irish Bonds Fall Before Finance Ministers Meet; Greek Debt Drops

Irish bonds fell for the first day in three as Prime Minister Brian Cowen said he doubts a concrete agreement will be reached to resolve the government’s fiscal crisis at a meeting of European finance ministers today.

The drop drove the extra yield investors demand to hold Irish 10-year debt instead of similar-maturity German bunds 22 basis points higher, the first gain in three days. Insurance protecting against a default by Irish securities rose 22 basis points to 515. Greek bonds fell after Austria threatened to withhold its share of an aid package, saying the Mediterranean nation hasn’t met commitments to the European Union.