MILAN, April 24 Italy's two-year debt costs fell
on Wednesday to their lowest level since the launch of the
European Monetary Union in 1999, as the country looked set to
end two months of post-election deadlock.
Bets the European Central Bank could cut interest rates next
month also fuelled a hunt for yield which was benefiting Italian
and Spanish debt.
The treasury sold 2.5 billion euros of two-year zero-coupon
bonds, paying a yield of 1.17 percent, much lower than the 1.75
percent Rome paid at a similar sale one month ago.
Rome issued also 0.75 billion euros of inflation-linked
bonds maturing on September 2023, reaching the total top-planned
amount of 3.25 billion euros.