EU COMMUNICATIONS: Proximus SADP: H125 Results Headlines   

Italy released its Q3 issuance programme on Tuesday. The MEF notes that E172bln was issued between January and May with a further E51bln expected in June. This leaves E115-125bln of gross issuance expected for H2. E225-245bln of gross issuance expected for Q2-Q4. This equates to gross issuance of E338-348bln for 2025, broadly in line with the E332-352bln of gross issuance from a similar calculation a quarter ago and with the initial 2025 target of E330-350bln.

New issues expected in Q3 (up to 10-year):

• 3-year BTP maturing 15 January 2029 (minimum outstanding E9bln, MNI expect a July launch).
• 7-year BTP maturing 15 November 2032 (minimum outstanding E10bln, MNI expect a September launch).
• 10-year BTP maturing 1 February 2036 (minimum outstanding E10bln, MNI expect a September launch).

Issues expected to be reopened in Q3 (up to 10-year):

• 2.55% Feb-27 BTP Short Term (minimum E9bln outstanding already exceeded).
• 5-year 2.95% Jul-30 BTP (minimum E10bln outstanding already exceeded).
• 7-year BTP maturing 15 July 2032 (minimum outstanding E10bln, already exceeded)
• 10-year BTP maturing 1 October 2035 (minimum outstanding E10bln)

• RES 4: 0.8648 76.4% retracement of the Apr 11 - May 29 downleg
• RES 3: 0.8624 High Apr 21
• RES 2: 0.8592 61.8% retracement of the Apr 11 - May 29 downleg 
• RES 1: 0.8575 High Jun 23
• PRICE: 0.8529 @ 06:59 BST Jun 25
• SUP 1: 0.8498/8471 20- and 50-day EMA values 
• SUP 2: 0.8407/8356 Low Jun 4 / Low May 29 and the bear trigger 
• SUP 3: 0.8327 1.382 proj of the Apr 11 - 16 - 21 price swing
• SUP 4: 0.8316 Low Mar 28 and a key support

EURGBP continues to trade just below its recent highs and a bullish theme remains intact. Moving average studies have recently crossed and are currently in a bull-mode position - this reinforces the current bull theme. Scope is seen for a test of 0.8592 next, a Fibonacci retracement. On the downside, support to watch lies at 0.8471, the 50-day EMA. Clearance of this level would highlight a possible reversal.

• MNI CHINA MONEY MKT INDEX JUNE LQDTY OUTLOOK 47.8 VS MAY 51.1
• MNI CHINA MMI CURRENT LQDTY CONDITIONS JUNE 23.9 VS MAY 25.0
• MNI CHINA MMI ECONOMIC CONDITIONS JUNE 57.6 VS MAY 56.5