On Wednesday, Germany........>

GERMAN AUCTION PREVIEW: On Wednesday, Germany re-opens Apr-24 Bobl for E3.0bln.

- HISTORY: The benchmark 5-Yr Bobl was last sold on Mar 20, at an average yield

of -0.32%, Buba cover of 1.45x, and real cover of 1.17x.

- BACKGROUND/RV: The German curve has flattened since the last Bobl auction on

Mar 20, with 2-Yr yields falling 4.4bps, 5-Yr 8.2bps, 10-Yr 9bps, and 15 through

30-Yr by 10.8bps. Looking at the 2s/5s in isolation, there has been a steady

bull flattening over the past six months, going from a 50bps spread to just

under 16bps since October 2018. The Bobl trades 45bps inside comparable EUR

swaps, 3bps up from the March low, but around the level that has most commonly

prevailed since late January. Spreads have been steady around 1-2bps inside

other core (Netherlands) for months. However, Bobl looks increasingly good value

vs semi-core, trading 17.6bps inside equivalent OATs, down from nearly 37bps at

the start of 2019.

- CASH FLOWS: There are E16bln in 0.50% Apr-19 Bobl redemptions scheduled for

this week, which is seen supporting demand for the current on-the-run Bobl.

- TIMING: Results are due shortly after the auction closes at 1030GMT.