Italy seems to be getting closer and closer to the end of the tunnel of the crisis. This morning the Treasury placed 8,5 billion 3 and 12-month BOTs thanks to very strong demand from investors. In fact, the request was 7,8 billion, against the 3,5 expected, for quarterly BOTs and 11,7 against 8,5 for yearly ones. Yields are therefore also falling sharply. For 3-month bonds, interest fell to 0,492% against 1,9% in September 2001, while for annual bonds, the yield fell to 1,405% against 2,2% last February.
Tomorrow will instead be the turn of the BTPs: an offer range of 4-5 billion for the new three-year BTP in March 2015 (coupon 2,5%) and 500 million-1 billion for the off-the-run September 2019.
Piazza Affari, mid-morning, is the queen of Europe: the Ftse Mib gains 1,29%, while Frankfurt increased by 1,03% and Paris by 1,15%.
