Italy's borrowing costs fall even after Fitch downgrade  

Italy accessed the market successfully today selling 7.48 billion euros of bonds even after Friday's downgrade from Fitch that follows a similar move from S&P earlier in January.

Italy sold 2.0 billion euros of 5.0% March 2022 bonds meeting target. The average yield dropped to 3.08% from 6.98% from the previous December 29 auction while the bid-to-cover ratio rose to 1.416 versus 1.36.

Italy also sold 3.574 billion euros of 2017 4.75% bonds almost in line with the maximum target of 4.0 billion euros.

The five-year bond also saw the costs drop with the yield lower at 5.39% vs. the previous record at 6.47% at the previous December 14 auction.

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