EFSF reopens euro market with controversial seven year

Europe’s bail-out fund, the EFSF, was set to raise €3bn of seven year money on Tuesday afternoon in an oversubscribed trade that was increased by €1bn and printed tighter than initial price thoughts. However, some bankers away from the trade felt that the premium of approximately 15bp paid over its curve may deter other issuers from the euro market this week.