EFSF tipped for long end deal next week

The European Financial Stability Facility is gearing up to sell a second benchmark of the quarter next week, having sent out a request for proposals to banks on Wednesday. The issuer has the option of picking between a large new issue benchmark in the middle of the curve to take out its remaining €4bn requirement for the quarter, or a tap or long-dated new issue if it wants to allow itself some issuance room in September.