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FRANCE T-BILL AUCTION PREVIEW
FRANCE T-BILL AUCTION PREVIEW: France's Agence France Tresor (AFT) tap 3-month
Dec 28, 2017 BTF for between E2.2-E2.6bln and launch a new 6-month Mar 14, 2017
BTF for between E1.2-E1.6bln on Monday. The AFT decided it did not need to tap
the 12-month BTF.
- RV: The front end of the BTF curve has flattened since last weeks auction with
the 3-month part of the yield curve seen around 1.5bp higher, while the 6-month
part of the yield curve is little changed.
- REDEMPTION: There will be a redemption this week of E6.78bln, therefore could
leave net cash flow negative to the tune of E2.58bln which is seen underpinning
demand at the auction.
- HISTORY: At the Sep 25 auction the AFT allotted E2.994bln 3-month BTF at an
average yield of -0.604% with cover of 1.55 times and allotted sold E1.495bln
6-month BTF at an average yield of -0.644% with cover of 2.78 times. 
- TIMING: Results due to be announced at around 1255GMT

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