Germany’s Bond Sale Plans Reignite Jitters in EU Periphery

Germany’s new era of big spending is pulling up borrowing costs across Europe, reigniting jitters around fiscal stability on the continent’s periphery.

Yields on benchmark Italian, Greek, Spanish and Portuguese bonds have risen 30 basis points since the start of the month. The four countries, which were bundled together during Europe’s sovereign debt crisis more than a decade ago, still have some of the highest debt loads on the continent, making them vulnerable to higher interest rates.