MNI EGB Issuance, Redemption and Cash Flow Matrix - W/C June 5

• The EU, Italy, Austria, Germany, Ireland and potentially Spain all look to issue in the week ahead. We pencil in gross nominal issuance of E20.6bln excluding retail operations, down from E36.7bln this week.
• The week ahead sees no redemptions and negligible coupons, leaving estimated net flows of positive E20.6bln in the week, down from E36.7bln this week.

For more see the full PDF here:

EZ230605.pdf

Week Ahead Supply

• The EU is scheduled to hold a syndication in the W/C 5 June. We don’t have a strong conviction on what maturity will be on offer.
• The W/C 5 June will also see the launch of Italy’s inaugural retail only 4-year BTP Valore (ISIN: IT0005547390). The issue will pay semi-annual step coupons – a minimum of 3.25% in the first two years and a minimum of 4.00% in years three and four. There will also be an extra bonus of 0.5% for investors who hold the bond for the full term. The final coupon confirmed on Friday after the placement period.
• We also pencil in a Spain syndication for the W/C 5 June with a new 10-year Oct-33 Obli due to be launched some time in June. We look for a transaction size of E10-15bln.
• Austria will kick off auctions for the week on Tuesday with a combined E1.495bln on offer of the on-the-run 10-year 2.90% Feb-33 RAGB (ISIN: AT0000A324S8) and the 0.25% Oct-36 RAGB (ISIN: AT0000A2T198) on offer.
• Germany will also come to the market on Tuesday for an Index-linked Bund auction. E400mln of the 0.10% Apr-33 ILB (ISIN: DE0001030583) will be on offer alongside E200mln of the 0.10% Apr-46 ILB (ISIN: DE0001030575).
• Germany will then return to the market on Wednesday with E1bln of the 0% Oct-25 Green Bobl (ISIN: DE0001030716) on offer.
• Ireland will hold its second IGB auction of 2023 on Thursday with details of what’s on offer to be announced on Monday 5 June.