Portugal sees first ever negative yields in short-term bond auctions

November 19, 2015 11:33 am 

LISBON, Nov. 19 — portugal on Wednesday issued 1.5 billion euros (USD1.6 billion) in short-term bonds, more than the total amount of its plan, according to the Portuguese Treasury and Debt Management Agency (IGCP).

The six-month bills of 400 million euros were placed at an average yield of minus 0.018 percent, against a positive yield of 0.006 percent in the last comparable auction on September 16.

The 12-month bills of 1.1 billion euros were placed at an average yield of minus 0.006 percent, compared with a 0.051 percent in the previous auction.

This is the first time ever portugal has seen negative yields for its bond auctions.

The IGCP said before the auctions that the overall amount for the auction would be between 1 billion euros and 1.25 billion euros.

Portugal is among southern European countries that have enjoyed record low yields in recent months, largely thanks to the bond-buying program of the European Central Bank, which aimed at supporting a faltering eurozone economy.(PNA/Xinhua)

BNB/PJN

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