EGB Supply For W/C Feb 14, 2021

The Netherlands, Germany, Spain and France are all scheduled to sell bonds this week. We look for E31.4bln of gross nominal issuance from auctions, up from E25.4bln last week.

• In addition to the sales at auction, we expect the ESM to hold a syndication as early as today after issuing an RFP last week. We also look for Slovenia to hold a syndication this week after it announced its intention last week following a buyback. We also think there is a good chance of a Belgium 30-year syndication either this week or next.
• The Netherlands will kick off the week’s auctions tomorrow, launching the new 10-year DSL via DDA for E4-6bln.
• Germany will also come to the market tomorrow with E4.0bln of the 0% Apr-27 Bobl on offer.
• Germany will return to the market Wednesday to sell a further E4.0bln of the 0% Feb-32 10-year Bund.
• On Thursday, Spain will look to sell the on-the-run 5-year Bono and 10-year Obli; the 0% Jan-27 Bono and the 0.70% Apr-32 Obli. The amounts of the auction will be confirmed this afternoon.
• Also Thursday, France will sell 3/5/7-year OATs; the 0% Feb-25, 0% Feb-27 and 0.75% May-28 OATs.
• France will then look to reopen a further E1.0-1.5bln of linkers. These will be the 0.10% Jul-31 OATei and the 0.10% Mar-32 and 0.10% Mar-36 OATis.

NET NOMINAL FLOWS: The week ahead sees no redemptions and coupons of E3.0bln. With estimated gross nominal issuance of E31.4bln, net flows for the week are estimated at positive E28.4bln (from E25.4bln last week).

For a calendar of all announced EGB/EU/ESM/EFSF auctions see the MNI EZ/UK Bond Supply Calendar here.