The Treasury awards 4,720 million in debt, but raises the interest

Madrid, Jan 20 (.).- The Spanish Public Treasury has placed this Thursday 4,720 million euros in three different denominations of medium and long-term debt that, in all cases, have been awarded among investors at a higher interest.

Last Tuesday, in the first auction scheduled for this week, the Treasury also had to raise the profitability of the debt offered to the market, on this occasion, of letters at three and nine months.

And this, as a consequence of the tensions that the sovereign debt market is experiencing, where the ten-year Spanish bond, the reference one, is close to 0.7%, maximum since May 2020.

Experts attribute these tensions to the fear that exists among investors that the rise in inflation will be sustained over time and that this will lead central banks to prematurely withdraw their monetary stimuli.

In this context, the Spanish Public Treasury today held the last bid for January. Of the total of the 4,720 million euros placed, the majority, 2,157 million, have been in five-year bonds.

The marginal interest applied was 0.09% compared to -0.107%.

On the other hand, Spain has sold another 1,386 million in ten-year bonds (with a residual life of 8 years and three months), whose yield has been 0.436%, also higher than the previous 0.188%.

Finally, another 1,177 million have been awarded in other twenty-year obligations (they have a residual life of 18 years and nine months).

In this case, the return was also higher, at 1.218% (previous 1.152%).

Despite the rise in performance, the auction has received a demand from investors that has exceeded 8,200 million euros.