MADRID: Spain sold 3 billion euros ($3.4 billion) of debt at its final bond auction of the year on Wednesday, with yields lower as markets feel the effect of a flattening US curve that is stoking fears of an economic downturn.
The Treasury had aimed to sell between 2.5 billion and 3.5 billion euros of the three bonds.
The 2021 bond sold 553 million euros at an average yield of 0.021 percent and at a bid-to-cover, a measure of demand, of 3.6. The bond previously sold on Nov. 8 for 0.102 percent and with demand at 2.2.
The 2023 bond sold 1.3 billion euros at an average yield of 0.412 percent, compared to 0.565 percent when it last sold at the beginning of November. Demand outstripped supply by 1.6 times after seeing demand at twice that on offer previously.
The benchmark 10-year 2028 bond sold 1.1 billion euros at an average yield of 1.456 percent after selling for 1.607 percent November 22. Bid to cover was 1.9 after 1.6 previously.
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