The profitability of Treasury bills tends to moderate and converge in their different time references, although in the auction held this Tuesday there was an exception: nine-month bills become more expensive and reach an interest rate of 3.79%, higher than the rest .
In the last auction, 1,715 million euros were placed in nine-month bills and 545 million in three-month bills. For the first, the demand has been 3,335 million euros and for the second, 2,213 million, which shows that there is still a high interest in the market.
However, the profitability of nine-month bills has increased from 3.7% in the previous auction to 3.79%, which is the highest level in more than a decade and makes this product the only one of its kind that continues to become significantly more expensive. Three-month bills have gone from yielding 3.53% to 3.49%.
Non-competitive requests, which correspond to individuals when formulated at a fixed price on the website, have been equivalent to 289 million in nine-month bills and 230 million in three-month bills.
The Treasury, which attended today's auction with the objective of placing between 1,500 million and 2,500 million euros in bills, has managed to contain its profitability in a scenario of moderation in the pace of interest rate increases by the ECB.
The body led by Christine Lagarde has progressively raised interest rates to 4.25% in the last year and this Thursday it meets to make a decision on possible increases. Part of the market is inclined to maintain the current rate, although there are elements that may pressure in favor of new increases. The task now is to review the types "data by data".
In the previous auction of twelve-month bills, which are preferred by small consumers, a profitability of 3.68% was marked, just two thousandths less than the 3.682% marked previously.
The yield on twelve-month bills had approached 4% a few months ago, reaching 3.8%, the highest level in more than a decade. Meanwhile, the interest on six-month bills stands at 3.679%.
The difference in profitability between the different time references is narrowing, which is an indication that investors are betting on greater stability in the cost of debt in the coming months.
The interest on bills and bank deposits are also gradually converging, although the former continue to be more profitable. According to the latest data from the Bank of Spain, the profitability of deposits was 2.33% in July.
