LISBON: Portugal's five-year borrowing costs rose on Wednesday in the last bond auction of the year following a wider sell-off in the global bond market in the aftermath of the US presidential election.
State debt agency IGCP sold 700 million euros ($742.91 million) worth of bonds maturing in April 2021, just below the upper band of its offer range of between 500 million and 750 million euros.
The allotment yield rose to 2.112 percent from 1.751 percent in the previous auction of the same maturity last month, but was slightly lower than the secondary market's current yield of 2.2 percent.
Demand in the auction outstripped the amount placed by 1.92 times, about the same as in the previous sale.
The IGCP said last week Wednesday's auction would conclude its bond issuance programme for this year.
The amount sold is smaller than 1 billion euros cited by the Treasury earlier this month as the amount still to be raised in government bonds this year, but it has raised more than expected in retail bonds after increasing the placement of November 2021 retail bonds to 1.5 billion euros last week from 500 million.
Comments
Comments are closed for this article.