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ITALY T-BILL AUCTION PREVIEW
ITALY T-BILL AUCTION PREVIEW: The Italian Dipartimento Del Tesoro issue a new
12-month Aug 14, 2019 BOT for E6.0bln on Wednesday. 
- RV: The bid-yield on the current 12-month Jul 12, 2019 BOT is currently seen
at 0.598%, towards the top end of its mid Jul to mid Aug range of between 0.775%
seen on Aug 10 and 0.146% seen on Jul 19. As for the new Aug 14, 2019 BOT the
grey market is indicating a mid-yield of around 0.713%, representing a pick up
of 14.7bps versus the old 12-month BOT and a spread of 106bp vs Eonia according
to Tradeweb. 
- HISTORY: For comparison, at the last 12-month auction on Jul 11, the finance
ministry sold E6bln at an average yield of 0.348% and bid-to-cover of 2.01
times. Prior to this on Jun 10, E6.5bln was sold at an average yield of 0.55%
and cover of 1.95 times. 
- REDEMPTION: There will be a BOT redemption on Aug 14 totalling E6.692bln,
leaving net cash flow negative to the tune of E692ln which is seen underpinning
demand. 
- TIMING: Results are due to be announced at around 0905GMT.

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