Ireland is this week set to hold its first bond auction since its 2010 international bailout. The National Treasury Management Agency (NTMA) announced yesterday that it will sell €1bn of its March 2024 bond on Thursday to boost liquidity in the paper which was issued via a syndication of banks in January to bumper demand. <p>

We expect a smooth auction. It will be the icing on the cake for the sovereign as regards getting back to a more normal primary bond market set-up. The market will see it as a buying opportunity and we don’t expect much price concession over the next couple of days. <p>

<b>Irish bonds, like debt issued by other lower-rated Eurozone states, has been in demand from foreign investors in recent months and now benchmark 10-year paper yields just 3.10%, compared with almost 15% at the peak of the debt crisis in July 2011.
<p><h5>Alan McQuaid</h5>


Disclaimer: www.merrion-capital.com/disclaimer

Merrion Stockbrokers Limited (registration no. 307878)
is a limited liability company whose registered office is at
Block C, The Sweepstakes Centre, Ballsbridge, Dublin 4, Ireland.