Economics
Hungary Yields Reach 2-Year High on Junk Rating Before Sale
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The yield on Hungary’s five-year bonds climbed to a two-year high before an auction tomorrow as a credit-rating downgrade to junk by Moody’s Investors Service damped investor appetite for the country’s debt.
The government is offering 15 billion forint ($65 million) in 2014 bonds, 12 billion forint in 2017 notes and 8 billion forint in 2022 securities, according to data from the Debt Management Agency on Bloomberg. The five-year yield rose five basis points to 9.357 percent at 11:51 a.m. in Budapest, near the 9.57 percent reached on Nov. 25, the highest since July 2009 and the first trading day after the rating cut by Moody’s.