Denmark auctioned only its second inflation-linked bond in its history, the latest sign that local investors are positioning themselves for a rise in consumer prices in the AAA-rated country.
The central bank’s debt office sold 5.07 billion kroner ($841 million) in 0.1 percent inflation-linked bullet bonds due in 2030 after receiving bids worth more than twice as much on Wednesday. The new bonds replace so-called linkers with a maturity of 2023 that were issued in May 2012, when consumer prices were growing at an annual rate of 2.2 percent and the markets were still rattled by the European sovereign debt crisis.