/OAT: On Nov 22 the Agence...>

FRANCE AUCTION PREVIEW: /OAT: On Nov 22 the Agence France Tresor comes to market

for a combined E6.5bln-E7.5bln, offering the 0.00% May-22, 0.00% Mar-23, and

0.00% Mar-24 OATs. 

- HISTORY: For comparison at the last auction of the 0.00% May-22 OAT on Jul 20,

2017, E2.84bln was allotted, average yield of -0.04%, cover of 1.91x. 

At the last auction of the 0.00% Mar-23 OAT on May 17, 2018; E2.4bln was

allotted, average yield of 0.10%, cover of 2.42x. 

At the last auction of the 0.00% Mar-24 OAT on Oct 18, 2018; E3.3bln was

allotted, average yield of 0.16%, cover of 1.81x. 

- RV/BACKGROUND: The short end of the curve sold off in the morning of Nov 21,

but gradually pulled back losses across the day.

The 2-yr currently trades at -0.449%, up 0.9bps on the day having traded in a

range of -0.457% to -0.433%. The 5-yr is at 0.084%, up 0.8bps having traded in a

range of 0.076% to 0.102%. The 10-yr spread vs Bunds is at 40bps, down by 1bp.  

French composite PMI is released Friday morning at 0800GMT.   

- TIMING: Results will be due shortly after the auction has finished at 0850GMT.