PARIS (Thomson Financial) - The French Treasury said it allocated 1.626 billion euros of inflation-linked Treasury bonds in an auction Thursday morning.
It allocated 1.210 billion euros of the 1.60 percent OATi due July 2011, compared with bids of 2.6 billion euros, giving a bid-to-cover ratio of 2.15.
The average accepted yield for the three-year OATi rose to 1.70 percent compared to 1.68 percent at the previous auction in November 2007.
The Treasury also allocated 416 million euros of the 1.60 percent inflation-linked OATei bond due July 2015, compared with bids of 1.531 billion euros. The bid-to-cover ratio was 3.68.
The average accepted yield for the seven-year OATei fell to 1.90 percent versus 1.96 percent at the last auction in April 2007.
OATi bonds are linked to French consumer inflation trends not including tobacco, and OATei bonds are indexed to European CPI. tfn.paris@thomson.com gt/sal COPYRIGHT Copyright Thomson Financial News Limited 2008. All rights reserved. The copying, republication or redistribution of Thomson Financial News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Financial News.
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