This Tuesday, the Public Treasury held the first auction of bills of the year with maturities of six and twelve months, one of the favorites among retail investors who in 2023 went for state debt as an investment. In total, 5,056.1 million euros have been raised, within the range that the organization had set as its objective.
The demand has exceeded 8,700 million euros, exceeding the amount finally awarded by more than 3,000 million.
In the case of 12-month bills, it raised 4,019.45 million with an interest of 3.314%, lower than the 3.3% of the previous auction.
Specifically, in 6-month bills, the Treasury placed 1,036.65 million at an annual interest rate of 3.635%, above the 3.62% at the auction held a month ago.
Despite the variations, broadly speaking, the profitability of these products is at its highest levels in the last decade. This has led to strong demand from retailers. Households are the main holder of short-term public debt for the first time in history, with 20,348 million euros in portfolio in September, almost 30% of the short-term debt in circulation.
Profitability increased throughout 2022 and 2023, in the heat of the restrictive monetary policy of the European Central Bank (ECB), with continued rate increases. Currently the reference rate in the euro zone is at 4.5%, where it is expected to remain until the first decrease since 2015, which could arrive later this year.
Last week, the organization inaugurated the year of auctions with the placement of State Bonds and Obligations, with which it raised 6,892 million euros. In these products, profitability was reduced to levels not seen since 2022. Investor demand exceeded 11,362 million, far above what was awarded.
