Arab Today, arab today spain\s 10year borrowing rate dips to 2005 level
Last Updated : GMT 05:49:51
Arab Today, arab today
Arab Today, arab today

Spain\'s 10year borrowing rate dips to 2005 level

Arab Today, arab today

Arab Today, arab today Spain\'s 10year borrowing rate dips to 2005 level

Paris - AFP

Spain's interest rate for borrowing 10-year funds fell below 3.0 percent on Friday for the first time since 2005, in a further sign that the eurozone debt crisis is fading. On the secondary market, where debt already issued is traded, the interest rate or yield indicated by the rising value of the bonds fell to 2.996 percent briefly during morning trading, but then rose to 3.0 percent. The yield on existing debt is a baseline indicator of what a country must offer to raise funds the next time it issues equivalent bonds. Ten-year bonds are considered to be the main barometer of a country's standing on the eurozone bond market. As confidence in the creditworthiness and general state of an economy rises, in this case regarding eurozone member Spain, investors become more inclined to buy the bonds for the fixed income stream they carry. As the price of the bond rises, the fixed interest falls automatically relative to the new higher value of the bond. Spain, the eurozone's fourth-biggest economy, emerged from its downturn last year after a decade-long property bubble burst in 2008, tipping the economy into a double-dip recession and wiping out millions of jobs. At Credit Agricole CIB bank, economist Frederick Ducrozet said: "In general, in terms of macroeconomics and of capital flows, everything is going in the direction of an easing of rates for eurozone peripheral countries." As economic data for the eurozone improves, investors have been moving large amounts of funds for several months into buying bonds issued by eurozone countries which had been regarded as high risk because of their overloaded public finances. The head of the French central bank, Christian Noyer, said recently that this inflow of capital was largely why the value of the euro was strong. In the last year, investors have also reduced their exposure to many emerging economies, pulling funds back to where risk appears less and the opportunities for gain greater. Ducrozet said that the trend of flows into weaker eurozone countries was likely to continue because "either the improvement continues, which is the case in Spain regarding the public deficit and unemployment in particular, or it is not the case but the European Central Bank is a back-stop." The ECB has signalled that it is ready to take new measures to support the eurozone economy, particularly to ward off any risk of deflation. However, the latest data shows that inflation is picking up from unusually low levels, and analysts say the ECB may decide to hold interest rates when it meets next week. The bond market was also boosted by firm eurozone data on Friday. Purchasing managers' data showed that output by the manufacturing sector continued to grow in April and was broadly based across all eurozone countries. However, investors on the bond market were waiting mainly on Friday for the monthly data on the state of the jobs market in the United States.

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today spain\s 10year borrowing rate dips to 2005 level Arab Today, arab today spain\s 10year borrowing rate dips to 2005 level

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today spain\s 10year borrowing rate dips to 2005 level Arab Today, arab today spain\s 10year borrowing rate dips to 2005 level

 



Arab Today, arab today
Arab Today, arab today Youssra depended on colored foam

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam
Arab Today, arab today O'Leary: Could ground more planes

GMT 06:49 2017 Friday ,22 September

O'Leary: Could ground more planes
Arab Today, arab today Etiquette expert underlines importance of gifts

GMT 17:52 2017 Sunday ,03 September

Etiquette expert underlines importance of gifts
Arab Today, arab today Huthis stage defiant rally 3 years

GMT 05:29 2017 Friday ,22 September

Huthis stage defiant rally 3 years
Arab Today, arab today Saudi Arabia to unblock internet calling apps

GMT 11:31 2017 Wednesday ,20 September

Saudi Arabia to unblock internet calling apps
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Ministry seeks to improve education

GMT 14:49 2017 Sunday ,17 September

Ministry seeks to improve education
Arab Today, arab today All eyes on May as she prepares

GMT 10:16 2017 Friday ,22 September

All eyes on May as she prepares
Arab Today, arab today Puerto Rico, Virgin Islands brace

GMT 12:01 2017 Wednesday ,20 September

Puerto Rico, Virgin Islands brace
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today Mercedes pumps 1 bln euros    

GMT 06:04 2017 Friday ,22 September

Mercedes pumps 1 bln euros    
Arab Today, arab today Intel chips loaded in Waymo

GMT 14:43 2017 Wednesday ,20 September

Intel chips loaded in Waymo
Arab Today, arab today Youssra prepares for launching her  program

GMT 08:59 2017 Wednesday ,20 September

Youssra prepares for launching her program
Arab Today, arab today France hopeful of persuading Trump

GMT 06:21 2017 Wednesday ,20 September

France hopeful of persuading Trump

GMT 09:40 2017 Tuesday ,19 September

Actress Ream Hhagag prepares for a new film

GMT 18:09 2017 Thursday ,21 September

China lifts 10-year travel ban

GMT 16:53 2017 Saturday ,02 September

Mai importance of gifts during Eid Al-Adha

GMT 19:18 2017 Monday ,18 September

5,000 'Dieselgate' deaths in Europe per year

GMT 10:46 2017 Saturday ,05 August

Nanis reveals simple ideas for home renovation

GMT 18:03 2017 Thursday ,21 September

Alarm over flesh-eating ulcer cases

GMT 07:00 2017 Wednesday ,20 September

A no-frills business success

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 12:46 2017 Thursday ,21 September

Google likely to buy stake in Taiwan smartphone maker HTC

GMT 11:37 2017 Saturday ,12 August

Fashion designer reveals her new collection
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday