The free fall of spreads continues. After the announcement of the new ECB plan arrived yesterday by Mario Draghi, which will allow the Eurotower to purchase sovereign bonds without limits on the secondary market, the Btp-Bund differential has never stopped running downwards.
This morning the gap narrowed to a minimum of 345 basis pointsand then settle down just over 350. At the last close, the value was 371, which already represented the lowest value recorded in the last 5 months. Just two days ago, however, the Italian differential was still traveling beyond the 400-point wall. The new spread matches interest rates on our 5.142-year bonds at XNUMX%.
The difference between yields on Spanish Bonos and German Bunds also fell. This morning it Madrid spread sank by almost 50 points: after closing yesterday at 447 points, this morning the value dropped to a minimum of 408, to then rise slightly to 415, in any case the lowest value since last May.
Just two days ago the spread of the Iberian country was over 500 points, while in July it was even traveling above the threshold of 600. Since the end of August, interest rates on ten-year bonds have dropped by more than one point, reaching 5.755% today.
