Italy raises €6bn from debt sale Italy sold €5.87bn of five and 10-year bonds at auction at rates that are close to two-year lows as investors appeared to shrug off worries over the political future of the country in the wake of Mario Monti's resignation last week as prime minister. The treasury sold the maximum €3bn of bonds due in 2022 at 4.48 per cent, slightly higher than the 4.45 per cent it paid last month. It also sold €2.871bn of bonds due in 2017, slightly below its maximum target, at 3.26 per cent, versus 3.23 per cent at the last auction in November. While the cost of borrowing rose slightly for Italy, the rate paid is still well below where it was a year or even six months ago. This time last year benchmark Italian 10-year debt was hovering close to 7 per cent amid fears over the potential break-up of the eurozone. In secondary trading, yields on 10-year Italian debt were down just 1 basis point by late morning, while yields on the equivalent benchmark Spanish debt were little changed at 5.287 per cent. Analysts said Friday's auction was slightly more reflective of investor sentiment towards the eurozone periphery than a sale of six month bill and two year notes held on Thursday in which the treasury raised the maximum €11.75bn targeted. However, with many people still on holiday following Christmas, trading remains thin. Yields on peripheral debt have fallen considerably since Mario Draghi, president of the European Central Bank, said he would do "whatever it takes" to save the euro. The ECB's pledge to buy the sovereign debt of ailing eurozone countries has reduced the risk of eurozone break-up. Friday's auction comes as Italy is preparing to go to the polls in February in a snap election called after Mr Monti, the technocrat prime minister brought in last year to guide Italy out of the financial crisis, last week resigned. The election will see Silvio Berlusconi, Italy's former prime minister, go head to head with centrist alliance of parties, possibly led by Mr Monti. However, the economics professor, who has never run for election before, has yet to confirm he will run. In a television programme aired this week Mr Berlusconi, leading his sixth campaign in 20 years, attacked his rivals, promised to abolish a property tax introduced by Mr Monti and accused German banks of conspiring to dump Italian debt to force his own resignation last year.