Investing.com - Spain saw borrowing costs edge higher at an auction of 12-month government bonds on Tuesday, amid ongoing concerns over political uncertainty in Spain, where the government has become embroiled in a corruption scandal.
Spain’s Treasury sold EUR3.02 billion worth of 12-month government bonds at an average yield of 1.548% earlier in the day, up from 1.472% at a similar auction last month.
Spain also sold EUR2.55 billion of six-month debt at an average yield of 0.859%, down slightly from 0.888% at a similar auction last month.
In total, Spain’s Treasury sold EUR5.57 billion of government debt, above the full targeted amount of EUR5.5 billion.
Bond auctions have become key drivers of risk sentiment in recent months, as traders attempt to gauge the ability of indebted euro zone nations to fund themselves.
The yield on Spanish 10-year bonds stood at 5.359% following the auction.
Meanwhile, the euro was lower against the U.S. dollar, with EUR/USD shedding 0.1% to trade at 1.3391.
European stock markets were mixed. Spain’s IBEX 35 Index eased up 0.2%, the EURO STOXX 50 dipped 0.1%, France’s CAC 40 was flat, Germany's DAX declined 0.3%, while London’s FTSE 100 edged 0.1% higher.
Spain’s Treasury sold EUR3.02 billion worth of 12-month government bonds at an average yield of 1.548% earlier in the day, up from 1.472% at a similar auction last month.
Spain also sold EUR2.55 billion of six-month debt at an average yield of 0.859%, down slightly from 0.888% at a similar auction last month.
In total, Spain’s Treasury sold EUR5.57 billion of government debt, above the full targeted amount of EUR5.5 billion.
Bond auctions have become key drivers of risk sentiment in recent months, as traders attempt to gauge the ability of indebted euro zone nations to fund themselves.
The yield on Spanish 10-year bonds stood at 5.359% following the auction.
Meanwhile, the euro was lower against the U.S. dollar, with EUR/USD shedding 0.1% to trade at 1.3391.
European stock markets were mixed. Spain’s IBEX 35 Index eased up 0.2%, the EURO STOXX 50 dipped 0.1%, France’s CAC 40 was flat, Germany's DAX declined 0.3%, while London’s FTSE 100 edged 0.1% higher.