Italy's debt costs hit 5-month low at auction on easing political risks

14 June, 2017 12:00 AM printer

MILAN: Italy's bond yields fell at auction on Tuesday as a local election defeat for the anti-establishment 5-Star Movement, and the failure of a bid to bring forward national elections eased political concerns.

Italy paid the lowest yields since January to sell three- and seven-year bonds, raising a total of 5.5 billion euros, at the top of its planned issue range, reports The Times of India.

A nominal bond due in June 2020 fetched a gross 0.15 percent yield, down from 0.37 percent a month ago. Demand totalled 1.5 times the 2.5 billion euros sold.