Record lows for Greek bond yields and 3-month T-bill rate


Greece’s benchmark 10-year bond yield tumbled to a new historic low of 0.606 percentage points on Thursday, down 2.5% from Wednesday’s close of 0.621 percentage points, as the prospect of the approval of a new European Union budget loomed large.

It follows another successful three-month treasury bill issue by the Public Debt Management Agency on Wednesday, through which the Greek state raised 812.5 million euros, rising to €1 million through non-competitive bids.

The original issue of €625 million was expanded thanks to high demand as the issue was 2.38 times oversubscribed, leading to a negative interest rate of 0.26%, a historic low for a Greek 13-week T-bill, compared to the zero interest rate at the previous such auction on September 9.

The settlement date for Wednesday’s issue is Friday.