La ECB has granted loans to European banks for a total of 529,53 billion euros. This is the result of the second maxi refinancing operation (Ltro2), which follows the first intervention in December (489 billion). Loans have a ultra-long duration of 3 years, with a very low interest rate, just 1%.
The amount of today's operation turned out to be higher than expected: on average analysts estimated that funds would be granted for a similar amount to the first operation, around 470 billion euros, although forecasts fluctuated between 400 and 600 billion. The number of banks that took part in the auction increased significantly: this time there were 800, against 523 in the December operation. However, today's auction could also be the last of its kind.
Soon after the data release on Ltro2, the spread between Btp and Bund remains unchanged at 345, while the Milan Stock Exchange accelerates, coming to gain more than one point. Obviously, in the Ftse Mib the securities of the banks shine, in particular Uni credit (+3,28) and Mps (4,33%).
