NTMA set for €750m 10-year bond sale
The National Treasury Management Agency (NTMA) will auction €750m of 10-year treasury bonds on Thursday.
The agency, which manages the national debt, confirmed yesterday that it will hold the bond auction this week. It is pricing the bonds with a coupon, or interest rate, of 3.4pc.
The NTMA raised €1bn in a bond auction last month. That issue was 2.8 times oversubscribed. The auction of the 3.4pc treasury bonds resulted in a yield of 2.917pc.
Following that auction, the NTMA has raised €5.75bn in the bond markets so far this year, which is more than 70pc of its €8bn funding target for the full year.
In March, the agency also raised €1bn in what was its first post-bailout bond auction of 2014. It raised €3.75bn in January, but that was via a syndication issue.
The March issue was 2.9 times over-subscribed.
NTMA boss John Corrigan said at the time that the auction marked Ireland's "full return to the markets" for the first time since September 2010 "and brings to a successful conclusion the NTMA's programme for a phased return to markets over the past two years".
Yesterday, Portugal's bonds rose, pushing five-year yields toward a record low after Prime Minister Pedro Passos Coelho said the nation's finances were strong enough to exit its bailout programme without a precautionary credit line. Ireland also exited its bailout without such a credit line.
Portugal will be the third country to leave a rescue program, following Ireland's exit in December and Spain's the following month.