FRANKFURT (Dow Jones) — The Federal Finance Agency placed inflation-indexed bonds with a term of April 2033 in an auction on Tuesday. Significantly lower demand was recorded than on July 5, and the subscription rate fell to 1.4 from 2.7. 297 million euros were allocated. The planned volume of EUR 400 million was achieved with the EUR 103 million retained for market maintenance purposes. The average yield was minus 0.29 percent after minus 0.90 percent at the previous auction.
Below is an overview of the details of the top-up auction; in brackets the results of the previous auction of the same securities on July 5:
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Issuance of 0.10 percent inflation-indexed Bunds
with term April 2033
Volume EUR 400 million
Bid volume EUR 406 million
Allocation amount EUR 297 million
Bid-to-cover ratio 1.4 (2.7)
average return -0.29% (-0.90%)
Value date October 6, 2022
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