Spain just sold €3bn of 10-year bonds at a yield of 4.864 per cent.
That’s a jump from the 4.045 per cent paid at its last 10-year auction, on May 20. Quite a jump.
But to put that first figure into some context, here’s a historical snapshot of the 10-year bono courtesy of Marc Ostwald at Monument Securities. Click to enlarge:
He notes that the 4.864 per cent is above the benchmark bond’s long-term average, but still 100 basis points below the 5.8 per cent yield Spain was paying back in 2000 — though European Central Bank repo rates and 10-year bund yields were a lot higher then too.
Related links:
All eyes on Spain – and not in a football sense – FT Alphaville
Charting Europe’s grim sovereign-bank loop – FT Alphaville
The sovereign debt premium - FT Alphaville