Mexico Sells Eurobonds

Mexico sold 750 million euros ($920 million) of 10-year bonds, seeking to raise funds to pay debt due in 2006. President Vicente Fox reiterated last week he would raise enough money this year to cover $3 billion of foreign maturities due in 2006, to avoid an increase in borrowing costs stemming from concern the next president, who will be elected next year, may boost spending. Mexico last tapped the debt market on May 17 with a 250 million 7-year Swiss franc note. Barclays and UBS managed yesterday’s sale. Moody’s rates Mexico’s debt Baa, three levels above junk.