The Dutch State Treasury......>

DUTCH AUCTION PREVIEW: The Dutch State Treasury Agency (DSTA) re-opens the 0.0%

Jan-24 DSL Tuesday for between E1.5-2.5bln.

- BACKGROUND: This will be the final re-open of the Jan-24, which was launched

in Nov 17 via direct auction. At the last re-open on Jun 12, DSTA sold E2.15bln

(vs E1.5-2.5bln target) at 0.09% average yield.

- RV/HISTORY: The Dutch curve has steepened sharply since the beginning of

September, amid rising yields globally and mounting expectations of ECB

tightening policy. The 5-10 yr segment has fared worst, with yields up 16-17bps

(2-Yr yield up just 7.8bps and 30s up 13.5bps by comparison). However, spreads

versus Germany have narrowed, with 5-10 yr German bond yields up 17-18bps over

that period. Indeed, 4-5 Yr DSLs have been trading flat to German equivalents

for months, at a fairly consistent 10bps spread, with seemingly little room to

narrow (year's low was around 7bps, in February).

- TIMING: Results are due around 0820GMT.