Investing.com - Spain saw borrowing costs edge higher at an auction of three-and five-year government bonds on Thursday, as market sentiment weakened after disappointing manufacturing data from China sparked fresh concerns over the outlook for global economic growth.
Spain’s Treasury sold EUR1.58 billion worth of three-year government bonds at an average yield of 2.442% earlier in the day, up from 2.268% at a previous auction.
In addition, Spain sold EUR1.34 billion of five-year debt at an average yield of 3.001%, down from 2.807% at a similar auction last month.
Madrid also sold EUR1.15 billion of 13-year debt at an average yield of 4.54%.
In total Spain’s Treasury sold EUR4.08 billion worth of debt, above the full targeted amount of EUR4 billion.
The yield on Spanish 10-year bonds stood at 4.262% following the auction.
Meanwhile, the euro held on to modest gains against the U.S. dollar, with EUR/USD adding 0.2% to trade at 1.2886.
European stock markets remained lower following the auction. Spain’s IBEX 35 Index plunged 2%, the EURO STOXX 50 fell 2.4%, France’s CAC 40 dropped 2.4%, Germany's DAX sank 2.6%, while London’s FTSE 100 declined 1.9%.
Spain’s Treasury sold EUR1.58 billion worth of three-year government bonds at an average yield of 2.442% earlier in the day, up from 2.268% at a previous auction.
In addition, Spain sold EUR1.34 billion of five-year debt at an average yield of 3.001%, down from 2.807% at a similar auction last month.
Madrid also sold EUR1.15 billion of 13-year debt at an average yield of 4.54%.
In total Spain’s Treasury sold EUR4.08 billion worth of debt, above the full targeted amount of EUR4 billion.
The yield on Spanish 10-year bonds stood at 4.262% following the auction.
Meanwhile, the euro held on to modest gains against the U.S. dollar, with EUR/USD adding 0.2% to trade at 1.2886.
European stock markets remained lower following the auction. Spain’s IBEX 35 Index plunged 2%, the EURO STOXX 50 fell 2.4%, France’s CAC 40 dropped 2.4%, Germany's DAX sank 2.6%, while London’s FTSE 100 declined 1.9%.