- The DSTA will sell its 10y benchmark for an amount between EUR 2-3bn with talks between political parties to form a Dutch government having reached a stalemate
- While we judge that the current Dutch political landscape will not affect investor sentiment, tomorrow’s auction will give a confirmation of this hypothesis
- The Dutch Treasury lowered its 2017 funding requirement further following the publication of the Spring Memorandum but kept the bond issuance target unchanged
- The Dutch year-to-date bond funding will increase to almost 65% of our EUR 31bn forecast (official target EUR 30 – 35bn) after tomorrow’s transaction
- The 10y Dutch benchmark offers some value vs 10y OATs and to other Dutch bonds
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