The UK joined the wave of euro supply today (Thursday), with Nationwide selling a Eu1bn five year, as WL Bank and pbb sold Eu500m issues and Spain’s Bankinter ventured to the longer end of the curve with a seven year, but bankers forecast activity will now slow sharply as summer kicks in.

After today’s deals took euro benchmark supply to Eu12.75bn for the month, making it the second heaviest July (after July 2009), syndicate officials said they expect activity to slow next week as the summer season begins.

“For now, the to-do list should be finished,” said one. “All the issuers that were on my radar screen have successfully done their deals. One or another may arrive as a late-comer, but the big wave is done.”

The syndicate official noted that it was unusual for four euro benchmark deals to be launched on the same day, and said the success of each reflected the depth of demand in the market after a four week absence of supply.

“All the deals were perfect,” he said. “Each had a decent level of oversubscription and obviously investors are still available.”

Nonetheless, the syndicate official said he did not expect issuers to follow the example of UniCredit Bank, which last week sold a four times oversubscribed Eu500m eight year issue on a Friday.

“If there is a late-comer, I think they will be eyeing Monday,” he said.

Today, Nationwide Building Society sold a Eu1bn five year issue at 7bp over mid-swaps. Leads Citi, HSBC, Société Générale and UBS launched the deal with initial price thoughts of the 10bp area and setting guidance at 8bp plus or minus 1bp.

A syndicate official away from the leads noted the deal followed the same pricing process as a Eu1.5bn five year Lloyds issue on Wednesday of last week.

“Typically, Nationwide tends to trade 1bp or 2bp wider than Lloyds,” he said, “but the Lloyds trade went very well, so following the same strategy was the right thing to do and seems to have worked well.”

The syndicate official said the deal offered a 5bp new issue premium, based on the issuer’s secondary curve.

Bankinter leads Bankinter, Barclays, BBVA, Crédit Agricole and Natixis launched the Eu1bn seven year issue with initial price thoughts of the 30bp area before moving to guidance of the 25bp area on the back of books of over Eu2bn. The re-offer was fixed at 23bp, with the order books at Eu2.2bn at the last update. The final order book was not disclosed at the time The CBR went to press.

A syndicate official at one of the leads noted the speed of the execution, with the books closing at 11:15 CET and the leads having gathered Eu1bn of orders almost within half an hour of the books opening.

“It was a very quick turnaround, and a good result all round,” he said.

The deal tightened more through execution than other recent deals, the lead syndicate official said, but still received a strong response.

“With the books at Eu2.2bn before closing, you can see the deal was in very good shape, despite the level of tightening.”

He said the deal offered a 5bp new issue premium, seeing the issuer’s February 2025s trading at 21bp, bid.

Coming after three five year issues from the periphery – with AIB Mortgage Bank on Monday having reopened the market for non-core names and further supply following from Banco Popular Espanol and BPER on Tuesday – the new Spanish deal is the first from a peripheral issuer to feature a maturity longer than five years since primary activity resumed last week.

“Clearly as investor confidence and risk sentiment is improving there’s growing demand for paper longer than the recent five years we’ve seen,” said the lead syndicate official.

Westfälische Landschaft Bodenkreditbank (WL Bank) sold its Eu500m no-grow seven year issue at 16bp through mid-swaps, attracting Eu1.6bn of orders. Leads Commerzbank, DekaBank, DZ, LBBW and WGZ set the initial price thoughts at minus 11bp, before moving to guidance of minus 14bp.

A syndicate official away from the leads saw fair value for the new issue at around minus 18bp, based on the issuer’s secondary curve.

“This looks like a particularly strong result,” he said.

The new issue is WL Bank’s third Eu500m Pfandbrief this year, following a 15 year in January and a 12 year in March.

Meanwhile, Deutsche Pfandbriefbank (pbb) leads BayernLB, Commerzbank, Deutsche, NordLB and RBS priced the Eu500m no-grow five year deal – the issuer’s first benchmark Pfandbrief of the year and first since its IPO last week – at 14bp through mid-swaps. The deal was launched with initial price thoughts of the minus 10bp area, attracting IoIs of Eu1bn, before guidance was set at minus 13bp plus or minus 1bp.

“This went very well,” said a syndicate official at one of the leads. “It’s well oversubscribed, 4bp is a decent move from IPTs to the re-offer, and it’s a strong response for this name.”

A syndicate official away from the leads put fair value at around minus 16bp, based on the issuer’s secondary curve.