Debt auction sees yields close to zero

Page created: Thursday, 20 August 2015 9:08 GMT

Auction  Bond Markets  Yields

Portugal auctioned €1.15 billion in three- and 11-month treasury notes on Wednesday at yields of -0.013% and 0.021%, respectively, lower than previous equivalent auctions.
The government treasury and public debt agency (IGCP) told Bloomberg that Portugal has auctioned €400 million in three-month bills at -0-013%, down on the 0.044% seen in June.
The IGCP also issued €750 million in 11-month debt at an average yield of 0,021%, lower than the last auction in June when it was 0.159%.
Banco Carregosa asset management director, Filipe Silva, said that today’s auction with yields close to zero meant the country could “replace old debt with higher yields with new cheaper debt and obvious gains”.