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5/8/10-year BTPs, CCTeu

ITALY AUCTION PREVIEW
MNI (London)
  • On offer today:
  • E2.75-3.25bln of the 2.65% Dec-27 BTP (ISIN: IT0005500068)
  • E0.75-1.25bln of the 3.50% Mar-30 BTP (ISIN: IT0005024234)
  • E1.75-2.25bln of the 2.50% Dec-32 BTP (ISIN: IT0005494239)
  • E0.75-1.25bln of the 0.75% Oct-30 CCTeu (ISIN: IT0005491250)
  • Market colour: 5-year BTP yields reached a high of 3.194% yesterday, up approx. 90bp from levels seen for the first half of August and are currently around 3.092%. 8/10-year BTP yields followed a similar trajectory, increasing around 80bp from levels seen in the first couple weeks of August to currently stand around 3.305% and 3.800% respectively.
  • 5-year BTP spreads to the 1.30% Oct-27 Bobl saw a high of 208.4bp on July 27, and have since narrowed just shy of 28bp to around 108.6bp at the time of writing. 8/10-year BTP spreads to the respective Bunds saw highs of 217.0bp and 247.2bp on July 27. 8/10-year spreads have since narrowed by 18-20bp from these highs to around 197.5bp and 229.7bp.
  • Timing: Results will be available shortly after the auction closes at 1000 BST / 1100 CEST.

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