Spain easily raised more funds from debt markets on Thursday, with yields falling including to a euro-era record low on three-year bonds, amid strong demand from investors.
With demand nearly double the 4.5-5.5 billion euros ($6.1-$7.5 billion) initially offered, the Spanish treasury was able to place 5.9 billion euros of debt at significantly lower cost.
The maximum rate of return of 1.620 percent for investors on the 3-year bonds was a euro-era low, according to Dow Jones Newswires, and followed the setting of a record low rate on 5-year bonds last week.
There has been growing market confidence in eurozone periphery countries since Ireland exited its bailout last month, with yields on their debt sliding.
Spain sold 2.662 billion euros of three-year bonds at an average yield of 1.595 percent, down from 2.203 in the last similar auction on December 5.
Sales of 12-year bonds hit 1.811 billion euros, at an average yield of 3.977 percent, down from 4.469 percent recorded on November 7.
The yield on 14-year bonds, of which 1.442 billion euros were sold, was stable at 4.199 percent from an auction last week.
Spain, which exited recession last year, plans to borrow slightly over 242 billion euros from debt markets this year, with 133 billion in medium- and long-term bonds.
Spain easily raised more funds from debt markets on Thursday, with yields falling including to a euro-era record low on three-year bonds, amid strong demand from investors.
With demand nearly double the 4.5-5.5 billion euros ($6.1-$7.5 billion) initially offered, the Spanish treasury was able to place 5.9 billion euros of debt at significantly lower cost.
The maximum rate of return of 1.620 percent for investors on the 3-year bonds was a euro-era low, according to Dow Jones Newswires, and followed the setting of a record low rate on 5-year bonds last week.
There has been growing market confidence in eurozone periphery countries since Ireland exited its bailout last month, with yields on their debt sliding.
Spain sold 2.662 billion euros of three-year bonds at an average yield of 1.595 percent, down from 2.203 in the last similar auction on December 5.
Sales of 12-year bonds hit 1.811 billion euros, at an average yield of 3.977 percent, down from 4.469 percent recorded on November 7.
The yield on 14-year bonds, of which 1.442 billion euros were sold, was stable at 4.199 percent from an auction last week.
Spain, which exited recession last year, plans to borrow slightly over 242 billion euros from debt markets this year, with 133 billion in medium- and long-term bonds.
