MILAN May 10 Italy's one-year funding costs
tumbled on Friday to their lowest level since the introduction
of the euro as bets of further monetary easing in the euro zone
continued to fuel appetite for assets offering higher returns
than German debt.
At a regular auction the treasury sold 7 billion euros ($9.2
billion) of bills maturing May 2014 at 0.70 percent, down from
the 0.92 percent Rome paid at a similar sale one month ago.
Italy also placed 3 billion euros of bills maturing on Dec.
13, 2013 at an interest rate of 0.39 percent.
These short-term assets, dubbed 'flexible bills', are issued
by the treasury from time to time to cover seasonal liquidity