Portugal Reenters Bailout Radar As Traders Realize Greek "Rescue" Model Is Not Feasible Here

... here is the paradox: if Greece succeeds in persuading the ad hoc creditors to accept a 3.5% coupon, which it won't absent cramdown and CDS trigger, Portugal will immediately if not sooner proceed with the same steps. There is however, a problem. Unlike Greece, where the bulk, or over 90%, of the bonds are under Local Law, and thus have no bondholder protections, in a generic Portuguese Euro Medium Term note [is under UK law with "negative pledge" for bondholders].