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EGB Supply For W/C Sept 12, 2022 (1/2)

EUROZONE ISSUANCE

The EU, Italy, Germany, Portugal, France and Spain will all look to come to the market this week. We look for estimated gross nominal issuance of E39.6bln, up from last week’s E14.9bln.

  • The EU will hold a dual-tranche syndication today with a 5-year (Oct-27) and new 30-year (Oct-52) NGEU bonds on offer. We look for a transaction size of E8-10bln.
  • Italy will kick off auctions for the week this morning with up to E7.5bln of on-the-run 3/7-year BTPs on offer alongside a 25-year BTP: E2.25-2.75bln of the 1.20% Aug-25 BTP (ISIN: IT0005493298), E2.75-3.25bln of the 2.80% Jun-29 BTP (ISIN: IT0005495731) and E1.0-1.5bln of the 3.25% Sep-46 BTP (ISIN: IT0005083057).
  • Also today, Germany will then look to sell E5.5bln of the 0.40% Sep-24 Schatz (ISIN: DE0001104891).
  • Germany will return to the market tomorrow to sell E1bln of the 2.50% Jul-44 Bund (ISIN: DE0001135481).
  • Also tomorrow, Portugal will look to sell a combined E1.00-1.25bln of 4/10-year OTs: the 2.875% Jul-26 OT (ISIN: PTOTETOE0012) alongside the 1.65% Jul-32 OT (ISIN: PTOTEYOE0031).

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