FRANKFURT (MNI) – Germany sold E0.998 billion in inflation-linked
bonds (“linkers”) in a top up of its 1.75%-coupon 10-year linker with
2020 maturity at a real average yield of 0.57%, the Bundesbank announced
Wednesday.
The real average yield was below the 1.10% real average yield at
the bond’s last auction July 21.
The bid/cover ratio (excluding retention) was 2.2, above the 1.6
b/c on July 21.
The lowest accepted price was 110.83, while the average weighted
price was 110.89. The government accepted 100% of the bids at the lowest
accepted price.
There were E2.214 billion in bids for the linkers, E1.734 billion
in competitive bids and E480 million in non-competitive bids. The
government accepted 85% of the non-competitive bids.
The government retained E2 million (or 0.2%) for its open market
operations. Total issuance was E1 billion as previously announced.
Counting the E10 billion already issued, total issuance for this
security now equals E11 billion.
Germany will issue E2 to E3 billion in linkers this quarter,
according to the government’s most recent issuance calendar. Today’s
auction is the first linker auction in Q4.
The linkers will mature on April 15, 2020. The bond is linked to
Eurozone HICP ex-tobacco.
–Frankfurt Newsroom +49 69 72 01 42: email: fftmail@marketnews.com–
[TOPICS: M$X$$$,M$G$$$,M$$FI$,MFXBO$,MGX$$$]
