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FRANCE T-BILL AUCTION PREVIEW
FRANCE T-BILL AUCTION PREVIEW: France's Agence France Tresor (AFT) tap 3-month
Feb 21, 2018 BTF for between E3.1-E3.5bln, issue a new 6-month May 9, 2018 BTF
for between E1.0-E1.4bln and tap 12-month Nov 7, 2018 BTF for between
E0.7-E1.1bln on Monday.
- RV: The BTF curve has modestly bear steepened since last weeks auction with
the 3-month part of the yield curve little changed, the 6-month part of the
yield curve is around 1bp higher, while the 12-month part of the yield curve are
is 1.5bp higher.
- REDEMPTION: There will be a redemption this week of E6.316bln, therefore could
leave net cash flow negative to the tune of E316mln which is seen underpinning
demand at the auction.
- HISTORY: At Nov 20 auction the AFT allotted E3.53bln 3-month BTF at an average
yield of -0.703% with cover of 1.77 times and allotted E1.396bln 6-month BTF at
an average yield of -0.693% with cover of 3.50 times and allotted E1.075bln
12-month BTF at average yield -0.646% and cover of 3.35 times. 
- TIMING: Results due to be announced at around 1355GMT.

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