The Italian............>

ITALY T-BILL AUCTION PREVIEW: The Italian Dipartimento Del Tesoro issue a new

12-month Jul 12, 2019 BOT for E6.0bln on Wednesday. 

- RV: The bid-yield on the current 12-month Jun 14, 2019 BOT is currently seen

at 0.273%, towards the top end of its mid Jun to mid July range of between 0.66%

seen on Jun 14 and -0.021% seen on Jun 18. As for the new Jul 12, 2019 BOT the

grey market is indicating a mid-yield of around 0.282%, representing a pick up

of 8.5bps versus the old 12-month BOT and a spread of 63.9bp vs Eonia according

to Tradeweb. 

- HISTORY: For comparison, at the last 12-month auction on Jun 10, the finance

ministry sold E6.5bln at an average yield of 0.55% and bid-to-cover of 1.95

times. Prior to this on May 10, E6.5bln was sold at an average yield of -0.361%

and cover of 1.38 times. 

- REDEMPTION: There will be a BOT redemption on Jul 13 totalling E6.75bln,

leaving net cash flow negative to the tune of E750mln which is seen underpinning

demand. 

- TIMING: Results are due to be announced at around 0905GMT.