European Government Bonds - Back to the Future?

"From 1997 until 2010 Portugal's Government Bond Yield for 10 Year Notes averaged 4.70 percent reaching an historical high of 7.01 percent in April of 1997".

"From 1993 until 2010 Italy's Government Bond Yield for 10 Year Notes averaged 5.95 percent reaching an historical high of 13.75 percent in March of 1995 and a record low of 3.22 percent in September of 2005".

"From 1998 until 2010 Greece's Government Bond Yield for 10 Year Notes averaged 5.20 percent reaching an historical high of 12.45 percent in May of 2010 and a record low of 3.23 percent in September of 2005."

"From 1993 until 2010 Belgium's Government Bond Yield for 10 Year Notes averaged 5.10 percent reaching an historical high of 8.68 percent in September of 1994 and a record low in January of 1993."

"From 1991 until 2010 Ireland's Government Bond Yield for 10 Year Notes averaged 5.72 percent reaching an historical high of 10.47 percent in December of 1992 and a record low of 3.06 percent in September of 2005."

And finally just for fun:

"The United Kingdom's Government Bond Yield for 10 Year Notes rallied 18 basis points during the last 12 months. From 1989 until 2010 The United Kingdom's Government Bond Yield for 10 Year Notes averaged 6.32 percent reaching an historical high of 12.84 percent in April of 1990 and a record low of 2.93 percent in September of 2010."

Ireland has in the past faced economic difficulties as well as high interest rates and recovered. Could it be really different this time? Could Ireland not recover from this crisis? What sunk Ireland so fast was its financial sector. Time will tell.

Ireland - Interest as percentage of Tax Revenue - 1992 to 2009:

Because of its crumbling financial system, Ireland suffered a massive cash call to shore up its ailing banks.