France EUR

France 6-Year Index-Linked OAT Auction

Impact:
Low

Latest Release:

Date:
Actual:
0.83%
Forecast:
Previous/Revision:
0.83%
Period:
What Does It Measure?
The France 6-Year Index-Linked OAT Auction measures the government's ability to raise funds through the issuance of bonds that are adjusted for inflation, specifically focusing on the performance of its six-year maturities. Key indicators include the total amount raised, bid-to-cover ratios, and yield rates, with a successful auction typically indicating strong investor confidence and demand.
Frequency
This auction occurs semi-annually, with results released shortly after the auction date, providing immediate insights into investor sentiment and market conditions.
Why Do Traders Care?
Traders closely monitor this auction as the results directly influence government borrowing costs and investor expectations regarding inflation and interest rates in the Eurozone. Significant outcomes can affect the pricing of French debt, the euro, and broader European financial markets, with higher yields potentially indicating inflationary pressures.
What Is It Derived From?
The auction results are derived from offers submitted by institutional investors, private banks, and other market participants during the bidding process. The bond's price and yield are determined by the demand observed during the auction, which reflects market conditions and investor sentiment towards French debt.
Description
The France 6-Year Index-Linked OAT Auction primarily reports on the total amount raised, the yield achieved, and the bid-to-cover ratio, illustrating the demand for these inflation-protected securities. The preliminary report is based on initial auction data, while final figures released later provide a more accurate reflection of the demand.
Additional Notes
The results of this auction serve as a coincident indicator of overall market sentiment and economic conditions, offering insights into the appetite for government debt amidst inflation concerns. This auction can be compared to other debt issuances or inflation-linked instruments in Europe to gauge relative interest and competitiveness in the sovereign debt market.
Bullish or Bearish for Currency and Stocks
Higher than expected: Bullish for EUR, Bearish for Stocks.

Legend

High Potential Impact
This event has a strong potential to move markets significantly. If the 'Actual' value differs enough from the forecast or if the 'Previous' value is significantly revised, it signals new information that markets may rapidly adjust to.

Medium Potential Impact
This event may cause moderate market movement, especially if the 'Actual' deviates from the forecast or there's a notable revision to the 'Previous' value.

Low Potential Impact
This event is unlikely to affect market pricing unless there's an unexpected surprise or a major revision to prior data.

Surprise - Currency May Strengthen
Actual deviated from Forecast on a medium or high impact event and historically could strengthen the currency.

Surprise - Currency May Weaken
Actual deviated from Forcast on a medium or high impact event and historically could weaken the currency.

Big Surprise - Currency More Likely To Strengthen
'Actual' deviated from 'Forecast' more than 75% of historical deviations on a medium or high impact event and may likely strengthen the currency.

Big Surprise - Currency More Likely To Weaken
'Actual' deviated from 'Forecast' more than 75% of historical deviations on a medium or high impact event and may likely weaken the currency

Green Number Better than forecast for the currency (or previous revise better)
Red Number Worse than forecast for the currency (or previous revise better)
Hawkish Supports higher interest rates to fight inflation, strengthening the currency but weighing on stocks.
Dovish Favors lower rates to boost growth, weakening the currency but lifting stocks.
Date Time Actual Forecast Previous Surprise
May 22, 2025
0.83%
0.83%
Feb 20, 2025
0.83%
  
Dec 07, 2023
0.44%
0.7%
Nov 16, 2023
0.7%
0.74%
Mar 16, 2023
0.14%
0.3%