Portuguese bond yields are blowing out again today.
The culprit: the government is one day away from a big austerity vote, and word is that the opposition will not go along with it.
According to Bloomberg, JPMorgan is sending out a note that the country may be one day away from collapse:
Portuguese Prime Minister Jose Socrates has been attempting to find a compromise with the opposition, “but the opposition does not seem to buy into this,” London-based Mai said in a note e-mailed to investors. “The likelihood that the Portuguese government will fall this week looks high. This suggests that the sovereign will likely access” the European Financial Stability Facility “in the near term.”