Spanish treasury places over 4.5 bln euros on market at very low yields

The Spanish treasury on Thursday placed treasury bonds to the value of 4.5 billion euros (about 4.8 billion U.S. dollars) at very low interest rates that fell to an all-time low thanks to the optimism spreading within the financial markets due to purchases of government debt by the European Central Bank (ECB).

A total of 2.6 billion euros worth of 10-year bonds carried an average interest rate of 1.023 percent, below the 1.616 percent of the previous issue, while the marginal interest rate stood at 1.05 percent, considerably below the 1.629 percent of the previous auction.

The placement also included 975 million euros worth of 7-year bonds that fetched an average interest rate of 0.637 percent, while the marginal interest rate stood at 0.659 percent, below the 1.158 percent of the previous auction.

The remaining 910 million euros worth of 5-year bond carried an average interest rate of 0.386 percent, also below the 0.517 percent of the previous auction, while the marginal interest rate stood at 0.402 percent, below the 0.543 percent of the previous auction.

So far, the Spanish treasury has placed 45.7 billion euros of medium and long term debt on the market in 2015, which represented 32.2 percent of 141.996 billion euros the country aims to put on the market this year. Endit