Successful bond sales in Europe

Thursday, 12 January 2012 01:32

The Spanish and Italian debt auctions finally had a good impact on euro, which climbed higher against all major counterparts.

Demand on Spanish bonds was twice higher than expected, so the government sold almost 10 billion euro of different bonds, with 10-year yield at 5.23%.

Italy’s auction was also successful. The government sold almost 11 billion euro in various bonds. Borrowing cost fell much lower. The 10-year debt was sold at 6.61% yield.

Later today European Central Bank’s meeting is expected. EBC is announcing official bank rates.