France sells EUR 6bn of new 50-year treasury bond

23rd February 2005, Comments 0 comments

PARIS, Feb 23 (AFP) - The French Treasury said it had sold EUR 6 billion (USD 7.9 billion) of its new 50-year bond at Wednesday's auction, with a yield at launch of 4.21 percent.

PARIS, Feb 23 (AFP) - The French Treasury said it had sold EUR 6 billion (USD 7.9 billion) of its new 50-year bond at Wednesday's auction, with a yield at launch of 4.21 percent.

The yield is three basis points above the benchmark 30-year bond that is due in 2035. Bids for the new issue reached EUR 19.5 billion.

Agence France Tresor (AFT), which manages the country's negotiable debt, said that 45 percent of the order book consisted of fund manager demand, while eight percent came from pension funds and 14 percent from insurance groups.

"The size and diversity of demand for the 50-year issue validates the AFT's initiative, which anticipates rising retirement savings invested in prime quality long-maturity securities," the agency said.

© AFP

Subject: French News

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