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10/12-year OATs

FRANCE AUCTION PREVIEW
MNI (London)
  • On offer today: E5-6bln of OATs
    • 2.00% Nov-32 OAT (ISIN: FR001400BKZ3)
    • 1.25% May-34 OAT (ISIN: FR0013313582)
  • Market colour: 10/12-year OAT yields have fallen since the beginning of July by approx. 55 and 51bp respectively to stand around 1.426% and 1.561% currently. This is just shy of 100bp lower than the June 16 high of 2.581% for the 1.25% May-34 OAT.
  • 10-year OAT spreads to the Bund have narrowed since the beginning of July, by around 7bp to around 62bp. The 12-year OAT spread to the 0% May-35 Bund has widened around 7bp since the beginning of May, seeing a brief spike to around 65bp and currently hovering around 59bp.
  • Timing: Results will be available shortly after the auction closes at 0950 BST / 1050 CEST.

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