©Reuters. The Treasury holds a new auction this week, the first after the Fed
Madrid, May 8 (.).- The Spanish Public Treasury will hold a new debt auction this coming Tuesday, of three- and nine-month bills, which will be the first after the US Federal Reserve (Fed) has approved a rise in interest rates of half a point.
Although the measure was already discounted by the market, the announced increase caused a new rise in the yield of sovereign bonds, which will also affect the cost of financing the Treasury.
The ten-year US bond has climbed above 3%, maximum since 2018, while the German exceeds 1%, and the Spanish, 2.1%.
The continued rise in the yield on debt is causing the Treasury to have to pay more for financing on the market, and although the average cost of outstanding debt stands at 1.55%, a new all-time low, the average cost of newly issued debt is no longer negative, reaching 0.39% at the end of March.
On May 3, Spain placed 5,011 million euros in six and twelve-month bills that, in the latter case, were awarded at a positive marginal interest, something that had not happened since April 2020.
Likewise, on May 5, the Treasury sold another 5,065.76 million euros in bonds and obligations at different terms and in all cases, the interest paid on these titles increased.