German cost of borrowing at a 23-month high
THE GERMAN government’s cost of borrowing jumped to a near two-year high at a bond auction yesterday, reflecting appetite among investors for riskier assets.
The sale of 10-year debt saw the average yield rise to 2.06 per cent, the highest level since October 2011.
Germany sold €4.076bn (£3.4bn) of its new 10-years, attracting the same demand as at a similar sale in August despite the higher yield on offer.