Europe Economy

Demand Strong in Irish Debt Auctions; Yields Rise

Dublin, Ireland
Firecrest Picture | Robert Harding | Getty Images

Ireland's four- and eight-year sovereign bond auctions saw strong demand, pushing the euro higher versus the dollar.

Yields rose compared with previous tenders, but were in line with market expectations.

Ireland sold 500 million euros ($675 million) worth of four-year bonds at an average yield of 4.767 percent and received 2.54 billion euros in bids.

It sold 1 billion euros in eight-year bonds, at an average yield of 6.023 percent, and received bids worth 2.93 billion euros.

Ireland achieved a yield of 5.088 percent in June when it last sold eight-year debt, and 3.11 percent for four-year bonds in May.

Analysts said this would be a make-or-break auction for Ireland, because it would show how much appetite there still is for Irish debt following market jitters Friday regarding the health of its banking sector.

Elsewhere in Europe, Greece sold 3-month T-bills and the yield dropped slightly from a previous auction.