Markets
Spain sells 2.8bn euros in 2019, 2026 bonds
MADRID : Spain's Treasury sold 2.8 billion euros of longer-dated bonds on Thursday, but paid a high price to investors t
1 min
By
The Treasury sold 1.3 billion euros worth of a 2019 bond and 1.5 billion euros worth of a 2026 bond, which added up to close to the middle of its 2.5 to 3.5 billion euros target.
Spanish 10-year government bond yields hit 11-year highs ahead of the debt sale, in line with similar jumps in debt of other euro zone periphery countries.
In the auction the average yield on the 2019 bond was 5.352 percent, and it was 6.027 percent on the 2026 bond. The 2019 bond was last sold in Dec. 2009, and the 2026 issue was first sold via syndication in March.
The bid-to-cover ratio on the 2019 bond was 2.1, and it was 2.6 on the fifteen year bond.
Copyright Reuters, 2011