Futures Turn Higher After Portugal's Bond Auction
The Portuguese government on Wednesday sold €661 million ($839 million) of three-year debt and €378 million euros of 10-year bonds, according to Bloomberg. The three-year securities were issued at an average yield of 4.086%, up from an average yield of 3.597% at a previous auction of the same-maturity debt. The auction attracted bids for 1.9 times the amount offered, compared with a bid-to-cover ratio of 2.4 in June.
Similarly, the 10-year debt saw an average yield of 5.973%, up from 4.171%, and attracted bids for 2.6 times the amount offered, compared with a bid-to-cover ratio of 1.6 in the March sale.
Futures on the Dow Jones Industrial Average were recently up 16 points to 10,354 after trading down 25 points earlier. Given all the recent talk about double-dip recession, weak to stagnant economic growth, eurozone sovereign debt dangers and more, investors seem to be hanging on to every bit of good news.