Halister News

(Bloomberg) -- The largest European inflation-linked extension in six years is driven by concentration of supply in the long-end and OATi17 being dropped out of the index, Citigroup strategist Puja Sawant writes in a client note.

• European Inflation-Linked Securities Index is projected to extend by 0.41 years at the end of July vs 1-year average extension of 0.04 years
• Expect significant extension in all three constituents, with the Italian index projected to extend by its largest amount in 4 years; France and Germany to extend the most in a year
• Month-end changes broadly supportive for linkers