Portuguese Debt Becoming A Hot Hedge Fund Trade Once Again

After the run-up in the Portuguese sovereign bond market, which several big name hedge funds cashed into, it’s now time for Portuguese bank debt to become a hot commodity. Banks in Portugal could end a four-year ban on selling junior debt in the markets, and it seems hedge funds are already lobbying to speed up the process, reports Reuters. ECB cuts rates to near zero The European Central Bank unexpectedly cut interest rates to their lowest rate yesterday, in fear that very low inflation could threaten the economic recovery in the eurozone. ECB cut the bank lending rate from 0.5%…