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Slovakia, Germany, Spain and France are all scheduled to hold auctions in the W/C February 15. We estimate nominal issuance of E20.8bln from auctions. There is also market talk that Italy might hold a syndication with either a 20+ year BTP launch/tap or Green BTP launch.

  • Slovakia kicks off issuance on Monday with E527mln of SlovGBs on offer: E100mln of the 0% Jun-24 SlovGB, E127.4mln of the 3.625% Jan-29 SlovGB, E200mln of the 1.00% Oct-30 SlovGB and E100mln of the 2.00% Oct-47 SlovGB.
  • Wednesday will see Germany come to the market to sell E1.5bln of the 1.25% Aug-48 Bund.
  • On Thursday, Spain looks to sell Bonos/Oblis with the amount to be confirmed on Monday. On offer will be: the 0% May-24 Bono, the 0.80% Jul-27 Obli, the 0.10% Apr-30 Obli and the off-the-run 4.90% Jul-40 Obli.
  • France will then look to sell E9.5-10.5bln of MT OATs: the 0% Feb-24 OAT, the 0% Feb-26 OAT and the off-the-run 0.50% May-29 OAT.
  • France will also sell linkers on Thursday with E1.25-1.75bln on offer. The 0.10% Mar-26 OATei, the 0.10% Mar-36 OATi and the 0.10% Jul-47 OATei will all be available.

NET FLOWS: There are no redemptions due in the W/C 15 February and coupons total E3.1bln (of which E1.3bln from Germany and E1.2bln from Portugal). With gross nominal issuance of E20.8bln from auctions, we look for nominal net flows of E17.6bln in the week ahead (down from E23.4bln in the W/C 8 February). But as we noted above, if there is an Italian syndication next week, nominal net flows are likely to be higher than in the W/C 8 February.

For a recap of last week's issuance alongside graphical representations of issuance in the upcoming weeks and detailed tables of coupon and redemption schedules for the year ahead see the full document:

EZ150221.pdf

MNI London Bureau | +44 203-865-3820 | tim.davis@marketnews.com
MNI London Bureau | +44 203-865-3820 | tim.davis@marketnews.com