The Italian Treasury has succeeded this week in three shifts 18 300 million in debt in the short, medium and long term and for this, as repeated from the beginning of April, had to raise interest rates offered, but not as much as expected and also received a good demand.
In a week where there is uncertainty at the EU summit, which begins today, it was expected that the Treasury had to trigger the interest rates to finance, but has not been the case.
Analysts highlight how the rise of all emissions performance was expected and was more discrete than previously believed, but above all the demand is sustained over previous releases and has managed to place much of the debt issued.
However, despite the positive results seen in this batch of releases, analysts warn that you are paying interest on its debt Italy “can begin to stand in expensive” if they continue to grow.
In an analysis of the financial newspaper “IlSole24ore” Italy explained that pays 4.65 percentage points for the bonds decennial Germany, and between 5.1 and 5.3 taking into account debt at 3 and 5 years, and that the difference between the interest paid Spain and Italy are “70 cents”.
The big test is expected for today and the result was better than expected, capturing 5,400 million euros, slightly less than the maximum offered from 5,500 in bonds at 5 and 10 years at an interest slightly higher than previous auctions.
In detail, captured 2.922 million euros, offered 3,000 million of bonds due in 2022 offering an interest rate of 6.19%, representing a slight increase compared to 6.03% of the issue of 30 May.
The demand for the ten-year bond was 3.749 million and the coverage ratio, ie the ratio between demand and the amount ultimately awarded was 1.28 times, while in May was 1.40.
The Treasury placed all of the 2,500 million provided in notes due in 2017 and the performance you paid was 5.84%, representing a 5.66% increase compared to the previous issue.
The application received for such bonds was of 3,852 million euros, with a coverage ratio of 1.54 times, whereas it was 1.35 at auction last month.
Upon issuance of today, the most important in the course of three meetings this week, the risk premium fell to 466 basis points and the yield on the secondary market fell to 6.18% decadal.
An auction is considered very positive by analysts, who expected a larger rise in interest rates did change the sign of the Milan Stock Exchange and the selective index, FTSE MIB, he earned a 0, 1%.
On Tuesday, the Treasury placed 2.991 million euros in two-year bonds and 914 million in floating rate securities linked to inflation to 5 and 15 years,
In the case of bonds maturing in 2014 had to offer an interest rate rise which reached 4.712%, compared to the previous auction on May 28 which was 4.037%.
It was the highest interest for a broadcast of its kind since last December, but highlighted how even failed the psychological barrier of 5%.
In the second auction of the week, placed 9,000 million euros in bonds semester and a yield of 2.96%, compared to 2.104% of the issue last month.
Analysts noted that although it had to increase performance, the demand was 14.532 million euros, with a coverage ratio of 1.61 times, as of last month’s issue.