Greece successfully rolls over 3-month T-bills, yield steady
Cash-strapped Greece sold 813 million euros ($896.4 million) of three-month T-bills on Wednesday to refinance a maturing issue, managing to keep its public finances afloat ahead of a crucial parliament vote later in the day to approve austerity measures.
With 1.0 billion euros of three-month paper maturing on July 17, debt agency PDMA sold the new paper at a yield of 2.70 percent, unchanged from a previous sale last month.
In the rollover, T-bill holders – mostly banks – renew their positions instead of getting paid on the maturing paper they hold.
Passing reforms demanded by Greece's creditors in return for a third bailout through the fractious Greek parliament is a pre-requisite for the release of further funding to Greece's banks which have been closed since June 29.
The sale's bid-cover ratio was 1.30, unchanged from the last sale. The amount raised included 187.5 million euros in non-competitive bids. Settlement will be on July 17. [Reuters]
