This Tuesday, the Public Treasury issued 6- and 12-month bills for the last time this year. There will be no more auctions of this asset, which retail investors have demanded so much, until January. The average interest at which one-year securities have been placed has remained at 2.207% (the marginal at 2.228%)compared to 2.61% of the previous issue, and far from how they were sold in December 2023. Then 3.3% could be obtained, which implies a drop of 110 basis points. This average interest is the lowest in 26 months, since October 2022.
In the case of 6-month bills, there has also been a drop in the profitability achieved by investors. The average interest was 2.55%, compared to 2.84% in the auction held in November. This decrease was expected, taking into account that in the secondary market, in which the debt is exchanged after being issued, returns similar to those of this Treasury placement were already being demanded.
In this auction with which the year ends, the Treasury has raised a total of 4,784 million euros with a demand of around 8,615 million. And although this is the last of Letters at 6 and 12 months, there are still several scheduled broadcasts, including another of Letters on the 10th, in this case at 3 and 9 months.
The outlook is that the interest in these assets will continue to decline in the face of the planned reductions by the European Central Bank (ECB), although experts consider that a good part would have already been discounted.
It must be remembered that the Letters are sold at a discount on their face value, that is, investors do not actually receive a payment in the form of a coupon as occurs in a bond, but rather they disburse less money than they receive and that is where the receives that interest implicitly. This has implications, for example, at the tax level. The Letters do not have withholdings as is the case in other investment products such as deposits, so they must be included in the Income Tax Return and a 19% is no longer applied by default (in this case they are considered a return on capital). ).
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