Big bond auctions in Italy and Spain gave a surprising boost to the biggest countries reeling under Europe's debt crisis, with Italy selling a record €18 billion ($24 billion) worth—enough to satisfy its borrowing needs for the rest of the year in one unexpected stroke.

 

Spain also met high demand for some €4.6 billion in bonds, a sale that was buoyed by a decision earlier in the week by Moody's ratings agency not to relegate the country's debt to junk status. The ratings decision, and subsequent successful auction, was largely based on the expectation that Spain will eventually obtain financial ...