France will come to market...>

FRANCE AUCTION PREVIEW: France will come to market on Thursday to raise

E5.0-6.0bln. On offer are the 2.75% Oct-27 OAT, 2.50% May-30 OAT and the 4.75%

Apr-35 OAT.

- PREVIOUS AUCTION RESULTS (Date/Sold/Avg Yield/Bid-to-Cover): 2.75% Oct-27 OAT

( June 6, 2019 / E0.88bln / -0.08% / 5.77x), 2.50% May-30 OAT ( February 2, 2019

/ E2.88bln / 0.70% / 1.92x).

- RV/HISTORY: Mirroring the move in German bunds, French OATs have rallied since

mid-July following a temporary pullback earlier in the month. Yields at the

longer end have made fresh record lows, while the 2s10s spread trades at 53.5bp

- marking a return to 2015 levels. Although the preliminary July CPI print

surprised slightly higher, OATs have been buoyed by expectations of a return of

ECB QE in light of persistently below-target inflation and intensifying risks to

the regional economic outlook.  

- TIMING: Results are due shortly after 0950 London time.