In classic fashion, the hubbub around the much vaunted European bank stress tests due to be published this month has meant dribs and drabs of information coming out as a lack of clarity from the European Central Bank leaves us guessing.

The main point coming out of press reports yesterday, depending on who you believe, is that there will be a 16% to 17% haircut applied to Greek sovereign bonds. Other countries are expected to be much more benignly treated.