EGB Supply

Estonia, Spain, Germany and Italy have announced issuance operations for the remainder of the week ahead while the EFSF, the EU, Belgium, Italy, the Netherlands and Austria have already come to the market this week. We also potentially foresee a further syndication announcements from Ireland. This leaves estimated gross issuance for the week at E57.7bln, up from E28.9bln this week. Note that Spain released its funding plan on Tuesday – see the summary on pages 7-8.

• Estonia has released a mandate for a new RegS 10-year EUR benchmark bond to be held in the “near future”. MNI expects a transaction size around E1.0bln on Wednesday.
• Spain has also released a mandate for a new 10-year Oct-34 Obli to launch in the “near future.” MNI looks for a E10-13bln transaction size, with Wednesday also likely.
• On Wednesday, Germany will look to issue E5bln of the new 2.20% Feb-34 Bund (ISIN: DE000BU2Z023).
• On Thursday, Italy will look to hold a 3-year BTP auction (with the 7-year and 15+ year BTP portions of the auction cancelled given this week’s syndication). On offer will be E3.75-4.00bln of the new 2.95% Feb-27 BTP (ISIN: IT0005580045).

EZ240110.pdf