The French debt auction today saw good demand and lower costs in line with that in Spain. France sold 8.46 billion euros of notes at the top end of the 8.5 billion euros target.

Of the auctioned bonds, France sold today 3.26 billion euros of 1.75% 2017 notes. The average yield declined to 1.78% from 1.93% at the previous auction on February 16 while the demand was marginally unchanged with the bid to cover ratio at 1.98 versus 1.99 at the previous auction.

They sold 1.165 billion euros of 2.25% 2016 bonds with the average yield of 1.4% and the cover ratio of 3.47.

France also sold 1.93 billion of 4.0% 2014 October bonds with the cover ratio of 2.13 times as the amount tendered was a strong 4.105 billion. The average yield was 0.86% at the auction. France also sold 2.106 billion of 4.0% April 2014 bonds.