QE rally drives shift in attitude as investors learn to love low yields
The quiet period for FIG ended this week with a handful of deals emerging in the covered bond and senior unsecured markets. And in contrast to several tightly priced core European deals seen earlier this year, in which investors had pushed back on terms seen as too aggressive, bankers are now reporting a shift in sentiment.
Fearful of missing a rally, investors eagerly snapped up this weeks ultra-low yielding debt, even if it offered little or no new issue premium.
The improvement was attributed to a swell of Asian demand that followed the announcement of quantitative easing from the Bank of Japan, accommodative statements
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