Friday's court ruling against some austerity measures in Portugal hasn't fazed the bond market says Commerzbank's Michael Leister.

SHOWS: LONDON, ENGLAND, UK (APRIL 8, 2013) (REUTERS - ACCESS ALL)

1. : COMMERZBANK SENIOR RATE STRATEGIST, MICHAEL LEISTER, SAYING:

'(QUESTION; the whole plan for the government to cut its deficit and these measures that's being knocked on the head. I mean why is the market so sanguine?)
We believe there are sort of two sides to the story. So the one is the economic dimension which we mentioned. Of course, it doesn't look good for austerity when a lot of measures are rejected, a lot of necessary measures. But on the other hand, we have a very positive sentiment in general and indeed, what is perhaps the most important thing for Portugal is that the government remains committed to austerity.
(QUESTION: So just to be clear then, the market is of the opinion that okay, two weeks ago, it was Cyprus, last week it was Slovenia. This week it seems to be Portugal but Portugal will not be the next crisis hotspot in the Eurozone. Is that what the market is saying?)
Absolutely. So indeed, we believe that the market is drawing a line here and that also turning to the Eurogroup, Portugal is still enjoying a lot of support yet various comments today from EU officials supporting Portugal in case they stick to the austerity course, which as I mentioned they do. So clearly, Portugal is not the same as Cyprus or say, Slovenia which is a potential candidate as well. But it's more - the thing that Portugal is seen as a nicer asset to play this convergence or spread compression trade.'