Germany borrows $5.5BN at record-low yield
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Germany's central bank says the country has raised €4.2 billion ($5.5 billion) in a bond auction that saw investors accepting a record low return.
The Bundesbank said Wednesday the average yield for the two-year-bonds was 0.14 percent in the auction that saw demand almost twice exceeding the offer.
Investors widely see Germany as a safe haven amid Europe's sovereign debt crisis, thus strengthening demand and driving down yields on German government debt.
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German finance agency spokesman Joerg Mueller says the result is the lowest return ever achieved for two-year bonds. The last auction of debt with the same maturity in March still yielded 0.31 percent.
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