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EGB Supply - W/C 1 July, 2024 (1/2)

EUROZONE ISSUANCE
Germany, Spain, France, and Belgium all look to hold auctions in the upcoming week. We pencil in an estimated gross issuance for the week at E23.4bln, down from E25.3bln this week. We also expect funding plan updates from both Ireland and Portugal this week.
  • On Tuesday Germany will kick off issuance with a Green auction. On offer will be E500mln of each of the 0% Aug-30 Green Bund (ISIN: DE0001030708) and the 0% Aug-50 Green Bund (ISIN: DE0001030724).
  • Germany will return to the market on Wednesday to sell E5bln of the new 10-year Aug-34 Bund (ISIN: DE000BU2Z031). The coupon will be confirmed on Tuesday.
  • Spain on Thursday, will look to issue a Bono / Obli / ObliEi auction, including the launch of the new 7-year 3.10% Jul-31 Obli (ISIN: ES0000012N43). Also on offer will be the on-the-run 3-year 2.50% May-27 Bono (ISIN: ES0000012M77), the 1.85% Jul-35 Obli (ISIN: ES0000012E69) and the 0.70% Nov-33 Obli-Ei (ISIN: ES0000012C12). The auction size will be confirmed on Monday. For the nominals, we look for an upper limit of either E6.0bln or E6.5bln (a little higher than recent auctions given we have the new 7-year) and a E250-750mln range for the ObliEi.

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