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EGB Supply for W/C Jan 25: Upcoming

EUROZONE ISSUANCE

Italy is due to conclude issuance for the week today, and we expect it to sell at the top of the range of E8.75bln.

  • Italy will return to the market this to sell E7.25-8.75bln BTPs/CCTeu: E3.0-3.5bln of the 0.50% Feb-26 BTP, E3.25-3.75bln of the 0.90% Apr-31 BTP and E1.0-1.5bln of the 0.50% Apr-26 CCTeu.
CASH FLOWS: We look for total issuance this week of E41.5bln. With just E0.1bln of redemptions and E0.3bln of coupon payments, this equates to cash flows of E41.1bln. Last week's issuance of E30.0bln saw net flows of E22.1bln. For reference, the heaviest week of supply so far in 2021 was the W/C 4 January which saw a total E48.4bln nominal sold.

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