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Spain's Tesoro.........>

SPAIN T-BILL AUCTION PREVIEW
SPAIN T-BILL AUCTION PREVIEW: Spain's Tesoro Publico re-open 6-month Feb 16,
2018 Letra and issue a new 12-month Aug 17, 2018 Letra on Wednesday for a
combined amount of between E4bln to E5bln. 
- RV: For the 6-month Feb 16, 2018 Letra, mid-yield is currently trading at
-0.431%, towards the bottom of its 1-month range of between -0.331% and -0.432%.
As for the new 12-month Aug 17, 2018 Letra, the grey market is indicating a
mid-yield of around -0.382% which is a spread of -3.15 vs Eonia and a 3bp pick
up from the July 13, 2018 Letra.
- HISTORY: For comparison at the last 6-month auction back on Jul 11, the Tesoro
sold E825mln at average yield of -0.41% with cover 2.80 times. At the last
12-month Letra auction also on Jul 11, the Tesoro sold E3.725bln at average
yield -0.374% and covered 1.94 times.
- REDEMPTION: There is a Spain Letra redemption of E8.268bln this week leaves
net cash flow positive to the tune of E3.268bln which is seen underpinning
demand.
- TIMING: Results are due to be announced at around 0840GMT.

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