German Deputy Foreign Minister Werner Hoyer said the Portuguese bond selling yesterday provided evidence that Portugal should not be forced to accept an EU-IMF bailout.

He said the decline in the yield on 10-year bonds and increase in demand will help the debt-stripped nation to improve its fiscal situation without external help.

Eyes today will be on Spain and Italy as they will sell long-term bonds with some optimism in markets after the Japanese and Chinese pledge to buy European bonds.