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FRANCE T-BILL AUCTION PREVIEW
FRANCE T-BILL AUCTION PREVIEW: France's Agence France Tresor (AFT) tap new
3-month Apr 5, 2018 BTF for E3.0-E3.4bln, tap 6-month Jun 20, 2018 BTF for
E0.8-E1.2bln and issues new 12-month Jan 04, 2018 BTF for E0.9-E1.3bln on Monday
- RV: The belly of the BTF curve has modestly outperformed the wings since the
last auction on Jan 2 with the 3-month and 12-month part of the yield little
changed, while the 6-month part of the yield curve is around 2bp higher.
- REDEMPTION: There will a BTF redemption of E6.341bln this week which leaves
net cash flow negative to the tune of E441mln which is seen supporting demand at
the auction.
- HISTORY: At Jan 2 auction the AFT allotted E2.994bln 3-month BTF at an average
yield of -0.615% with cover of 1.71 times and allotted E1.44bln 6-month BTF at
an average yield of -0.616% with cover of 2.07 times and allotted E1.175bln
12-month at average yield -0.598% and cover of 2.65 times.

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