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©Reuters. The Treasury places nine-month bills with interest at all-time highs
Madrid, Oct 11 (.).- The Spanish Public Treasury has placed this Tuesday 1,964 million euros in letters to three and nine months that, in the case of the latter, have been awarded at a marginal interest of 2.014%, which It represents its highest level since this type of debt began to be launched, in February 2013.
According to auction data, in nine-month letters Spain has awarded 1,513 million euros at this marginal interest of 2.014%, much higher than the 1.350% of the previous bid, and which represents historical maximums.
In three-month bills, the amount awarded was 451 million euros.
Likewise, the interest applied to these bills has increased, from the 0.735% applied in the bid in September, to the current 0.880%, which represents a new maximum since 2013.
Despite the rise in interest, the auction has had a demand from investors that has exceeded 4,600 million.
Thus, the bid ratio, the difference between what was requested by the market and what was finally placed, was 2.3 times.
During this year there has been a general rise in the yields of sovereign debt, and therefore, an increase in the cost of State financing, given the sustained rise in inflation, which has led the different central banks to raise rates interest aggressively.
In this context, the return on the ten-year Spanish bond, the benchmark, reaches 3.46% this Tuesday, and the German, considered the safest in Europe, 2.3%.
In the previous day, the debt market was again stressed after Germany was in favor of studying the creation of a joint European debt fund to deal with the energy crisis, according to experts.
Also, today, the Bank of England has announced that it will reinforce its emergency bond purchase plan by warning that there continues to be a “material risk to financial stability” in the country and “dysfunctions” in parts of the market. pension in the UK.
The bank had launched this bond purchase program after the turmoil unleashed in the markets following the announcement made last month by the Executive of Liz Truss of its fiscal growth plan that included massive tax cuts.
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