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New 5y BTP, 10y BTP & 7y CCTeu

ITALY AUCTION PREVIEW
MNI (London)
  • On offer today:
    • E3.5-4.0bln of the new 2.65% Dec-27 BTP (ISIN: TBA)
    • E1.5-2.0bln of the 2.50% Dec-32 BTP (ISIN: IT0005494239)
    • E0.75-1.0bln of the 0.65% Apr-29 CCTeu (ISIN: IT0005451361)
  • Market colour: 10-year BTP yields have risen over 110bp since the beginning of June to the high of 4.280% on June 14. Yields have since fallen back over 80bp over the last two weeks to stand at 3.460% at the time of writing. The most recent 5-year BTP saw yields follow a similar trajectory, increasing around 135bp from the beginning of the month to the June 14 high and since decreasing around 100bp.
  • 10-year BTP spreads to the Bund widened just shy of 50bp from the beginning of the month to the June 14 high, and have since narrowed by 50bp again to stand back around 202bp.
  • Timing: Results will be available shortly after the auction closes at 1000 BST / 1100 CEST.

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