China, Japan and “Middle East” investors bailed out the Euro on January 25^th. This hopefully will spare Portugal and Spain from IMF intervention and the harsh structural adjustment “austerity” cuts the IMF has recently imposed on Greece and Ireland.

According to Klaus Regling, the head of the European Financial Stability Facility (EFSF), the AAA rated Euro bond auction (worth 5 billion euros) was “nine times subscribed (there were nine times as many bidders as bonds),” making it the biggest order book on record.

China bought 38% of the bonds and Japan 20%, with unspecified Middle East investors purchasing an unspecified amount. The Euro bond pays 2.89% interest.

http://www.telegraph.co.uk/finance/financetopics/financialcrisis/8282038/Asian-investors-lead-massive-demand-for-first-Euro-bail-out-bond.html

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