Banking, finance, and taxes
Spain’s Debt Offering Has Modest Yields
Published:
Last Updated:
Spain auctioned $3.2 billion in bonds. Demand was solid. Spain paid high yields, but not as high as many had feared. Yields well above 6% would signal that the nation could not sustain the borrowing along with large deficits. The government has recently made Herculean efforts to bring down government costs.
Bonds that mature in October 2014 had an average yield of 3.463% and a bid-to-cover ratio of 3.3.
Bonds that mature on January 31, 2022, carried an average yield of 5.743%, well below the danger zone.
Markets should be cheered by the auction. It is a sign there is some hope Spain will not need a massive bailout.
Douglas A. McIntyre
Get Ready To Retire (Sponsored)
Start by taking a quick retirement quiz from SmartAsset that will match you with up to 3 financial advisors that serve your area and beyond in 5 minutes, or less.
Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests.
Here’s how it works:
1. Answer SmartAsset advisor match quiz
2. Review your pre-screened matches at your leisure. Check out the advisors’ profiles.
3. Speak with advisors at no cost to you. Have an introductory call on the phone or introduction in person and choose whom to work with in the future
Get started right here.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
