MADRID, 16 Nov. (EUROPA PRESS) –
The Public Treasury expects to place between 4,000 million and 5,000 million euros this Thursday in an auction that will close the issues for the month of November, according to the objectives announced by the body dependent on the Ministry of Economic Affairs and Digital Transformation.
Specifically, the Treasury will issue 3-year State bonds today, with a coupon of 2.80%; 10-year State obligations, with a 3.55% coupon and 20-year State obligations, with a 3.45% coupon.
The previous yields for these references were placed at 3.533% for 3-year State bonds; at 4.074% for 10-year State obligations and at 4.007% for 20-year State obligations.
This auction occurs at a time when individual investors continue to show great interest in purchasing debt, mainly in the short term, given its high profitability, which has been growing since the beginning of 2022.
The auction will be marked by the recent decision of the European Central Bank (ECB) to leave interest rates intact after ten consecutive increases. In addition, the United States Federal Reserve (Fed) has also chosen to maintain rates, in its case for the second consecutive time.
Last Tuesday the Treasury raised 1,976.05 million euros in an auction of 3- and 9-month bills, within the expected mid-range, and cut the remuneration offered to investors for both references.
Investor demand once again greatly exceeded the amount placed in the markets, with requests exceeding 4,957 million euros, more than double the amount awarded.
The gross issuance by the Public Treasury will be 256,930 million euros this year, which represents an increase of 8.2% compared to what is estimated for 2022, due to the rise in interest rates.
Regarding net issuance, the Government has announced that it will be reduced by 5,000 million euros by 2023 thanks to the “good performance” of the Spanish economy and the “loose” compliance with fiscal objectives. With this, Spain will go from a net debt issue of 70,000 million to 65,000 million euros.
