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LT OATs

FRANCE AUCTION PREVIEW
MNI (London)
  • On offer today: E9-10bln of long-term OATs
    • 1.50% May-31 OAT (ISIN: FR0012993103)
    • 2.00% Nov-32 OAT (ISIN: FR001400BKZ3)
    • 1.25% May-38 OAT (ISIN: FR0014009O62)
  • Market colour: 1.50% May-31 OAT and 2.00% Nov-32 OAT yields have risen around 72-75bp from lows at the beginning of the month to stand around 1.882% and 2.148% at the time of writing. 1.25% May-38 OAT yields also rose around 75bp over the same period, currently standing around 2.457%.
  • 1.50% May-31 OAT spreads to the Bund were around 44.4bp at the time of writing, largely unchanged since Aug 1, and aprrox. 8bp narrower than the June 14 high. 2.00% Nov-32 OAT spreads to the Bund were around 61.1bp at the time of writing, approx. 4bp wider than at the beginning of August.
  • 1.25% May-38 OAT spreads were just shy of the Aug 26 high at 78.1bp at the time of writing, having widened 10bp since Aug 1.
  • Timing: Results will be available shortly after the auction closes at 0950 BST / 1050 CEST.

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