Greek Bond New Issue Plunges - Where's All The Demand Now?

Talking heads were positively orgasmic at the fact that Greece managed to get a five-year bond deal off in the public markets... at a 4.75% coupon and was 8-times oversubscribed. That must be great news, right? So, kindly explain to us where all that exuberant "Greece is the best thing since sliced bread" demand is today as the bond price has collapsed 1.5 points and yields smashed higher by over 30bps...?



As a gentle reminder here is yesterday's news... (from The FT)

Greece has raised €3bn in a five-year bond deal after attracting in excess of €20bn in orders for its eagerly anticipated return to the bond market.  The yield on the deal was confirmed at 4.95 per cent – much lower than most analysts expected.

And here is The FT from January 25th 2010...

International alarm over Greece’s debt crisis abated on Monday when investors flocked to buy the government’s first bond issue of the year, an indication that it may run into less trouble than anticipated in meeting its short-term financing needs.  Investors placed about €20bn ($28bn, £17bn) in orders for the five-year, fixed-rate bond, four times more than the government had reckoned on.

It's different this time.