The Deutsche..........>

GERMAN T-BILL AUCTION PREVIEW: The Deutsche Finanzagentur launches a new 6-month

Feb 13, 2019 Bubill for E3.0bln on Monday.

- BACKGROUND: The new Feb 13, 2019 Bubill will be re-opened on Sep 10 for E2bln

before being tapped once again in Q4 to bring total outstanding to E7bln.

- RV: The grey market is indicating a mid-yield of -0.600 for the new Feb 13,

2019 Bubill according to Tradeweb which is a 0.1bp premium vs the Dec 5, 2018

Bubill and is -24.35bp versus Eonia. This compares to a Bubill/Eonia spread of a

-26.7bp seen at the last 6-month Bubill auction.

- HISTORY: For comparison at the last launch of a new 6-month Bubill on Jun 11,

the finance ministry sold E2.875bln at an average yield of -0.6166%, cover of

1.7 times and E125mln or 4.17% retained for secondary market operations. Average

cover for Bubill auctions this year is 1.7 times.

- REDEMPTION: There will be a Bubill redemption this week of E7.0bln, therefore

leaves net cash flow negative to the tune of E4bln which is seen underpinning

demand.

- TIMING: Results due to be announced shortly after bidding closes at 0930GMT.