MPS draws demand with triple digit spread

Monte dei Paschi di Siena (MPS) issued a €1bn 10 year Obbligazioni Bancarie Garantite on a comfortably oversubscribed book on Thursday, paying investors a rare triple digit spread, a coupon of over 2% and a 65bp spread over BTPs. With the European Central Bank expected to cut the deposit rate in December, carry trades are once again back in vogue.