Interest rates on Portuguese debt declines. Ten-year rate drops below 1%
The interest rates on the national ten-year sovereign debt are below the 1% mark in the secondary market, having already touched a minimum of 0.99% on Tuesday.
The Interest rates on national sovereign debt are decreasing this Tuesday, with the ten-year benchmark rate falling below the ‘psychological’ threshold of 1% in the secondary market. Announcements by the European Central Bank (ECB) and promises of a “bazooka” by the European Union to combat the effects of the pandemic bear relief.
It was 10:11 a.m. this Tuesday that, according to data from Reuters, the Portuguese yield for the ten-year term reached 0.99%, below the 1.044% at which it closed in the last session, thus breaking down the 1% barrier, and returning to the minimum levels reached a week ago.
The relief of national sovereign interest rates accompanies the relief of yields in the rest of Europe, namely the German bunds. Interest on German ten-year debt has already been trading at -0.46%, below the -0.445% at which it closed in the last session, supported by debt purchases by the ECB.
The European Council on Thursday mandated the European Commission to draw up a plan for financing the Recovery Fund, which is due to be known on 6 May, and which will make it possible to support European economies hit by the effects of the pandemic.
