Sovereigns - All Articles

  • SSA secondary pricing update: EU's SURE debut screeches tighter

    Trading levels given are bid-side spreads versus mid-swaps and/or an underlying benchmark and bid-yields from the close of business on Monday, October 26. The source for secondary trading levels is ICE Data Services.

    • 27 Oct 2020
  • Italian BTPs rally after surprise upgrade with green framework and dollar bond expected soon

    Italian government bonds rallied across the curve on Monday after S&P upgraded its outlook on the sovereign on Friday in response to the country’s extraordinary fiscal measures and support from the European Central Bank’s asset purchase programme and the European Union’s incoming recovery fund. The positive sentiment bodes well for the imminent publication of Italy’s green bond framework and plans to return to the dollar market in the coming weeks.

    • 26 Oct 2020
  • Greece looking to capitalise on Pepp to complete curve

    Greece hit the market this week with a €2bn tap, neatly threading a needle between the EU’s jumbo debut and a hefty 30 year from Italy. But unlike other sovereigns, the exercise was not a scramble for cash to mitigate the impact of the pandemic.

    • 23 Oct 2020
  • Funding scorecard: European sovereigns

    This week's funding scorecard looks at the progress European sovereigns have made in their funding programmes towards the end of October.

    • 23 Oct 2020
  • EU big fish breaches at last with historic SURE splash

    After months of waiting as even the great whites of the SSA oceans kept clear of primary bond sales in anticipation, the EU — now a bond market megalodon by comparison — cruised into a bait ball a quarter of a trillion euros big this week to take a €17bn bite out of its enormous pandemic recovery borrowing programme. Lewis McLellan and Bill Thornhill report.

    • 22 Oct 2020
  • Will the Next Gen loans be needed?

    Europe’s bevy of recovery lending packages is undoubtedly a welcome gesture, but it may remain just that — a gesture. If trends continue as they are, some countries may prefer market lending to concessional loans from Europe.

    • 22 Oct 2020
  • Italy takes €90bn book for 30 year

    The strong momentum in the euro public sector bond market continued on Thursday with Italy receiving a huge reception for a new 30 year line, which was sold alongside a tender of various outstanding Italian government bonds.

    • 22 Oct 2020
  • Italy and Québec jump into strong euro SSA market

    Italy and the Province of Québec will add to the euro public sector supply on Thursday, hoping to capitalise on the strong momentum in the currency following the European Union’s record order book earlier in the week.

    • 21 Oct 2020
  • Back to the Futura part two: Italy to sell second Covid-19 retail bond in November

    The Italian Ministry of Economy and Finance will issue a second BTP Futura next month, following its debut bond in the format earlier this year, as part of its plans to seek greater participation from retail investors to fund its additional borrowing needs resulting from the coronavirus pandemic.

    • 21 Oct 2020
  • Denmark scores with foreign currency comeback

    The Kingdom of Denmark made a rare appearance in dollars on Tuesday, printing $2bn in its first outing outside its domestic market in six years. Its success in the currency has emboldened the World Bank to follow suit.

    • 20 Oct 2020
  • AFD mandates for inaugural sustainable bond as Greece lines up tap

    Two public sector borrowers will follow the EU’s record breaking success in the euro market on Wednesday, with Agence Française de Développement looking to sell its debut bond under its new framework tied to the UN's Sustainable Development Goals (SDGs) and Greece tapping its 2035s.

    • 20 Oct 2020
  • Euro SSA market strong ahead of EU arrival

    It was a moderate week for supply in the primary euro public sector bond market but the issuers that did come found ample demand, setting up a decent backdrop for the expected arrival of the European Union’s big borrowing programme next week.

    • 15 Oct 2020
  • Austria takes big book for 20 year

    Austria built a large order book as it came to the market for its final syndication of the year on Thursday, ahead of the expected arrival of the European Union as a mega borrower next week.

    • 15 Oct 2020
  • Austria mandates for 20 year as ESM posts RFP

    The Republic of Austria picked banks to lead a new 20 year euro benchmark on Wednesday, while the European Stability Mechanism surprised some market participants by sounding out banks for a deal next week, which could clash with the EU’s grand arrival as a supersized issuer.

    • 14 Oct 2020
  • Nearwater sets up third US Treasury conduit with Barclays

    Nearwater Liquid Markets has set up a third ABCP conduit which will buy only US Treasuries, repoing them with Barclays, in a move that would help the UK-based bank manage its access to high quality collateral. The new vehicle joins existing structures Nearwater has set up with BNP Paribas and with JP Morgan.

    • 14 Oct 2020
  • Spain cuts issuance target, rules out further syndications in 2020

    The Spanish treasury has cut its funding target for the year by €15bn as a result of a better income than anticipated, and said it does not expect to issue any more syndicated bonds before the end of the year.

    • 12 Oct 2020
  • Blazing euro market ready for SURE

    The euro market has been on spectacular form this week, with well oversubscribed books and slight new issue premiums. The strong results sent a good signal for the arrival of the EU, which sent out a request for proposal to 20 eligible banks on Friday to launch its €100bn funding programme.

    • 08 Oct 2020
  • Market participants back Green+ Gilt proposal for sustainable Covid-19 recovery

    A group of some of the UK's biggest asset managers, professional bodies and banks are supporting a proposal for an SRI-themed UK sovereign debt product to deliver environmental and social benefits as part of the country’s recovery from the pandemic.

    • 08 Oct 2020
  • EBRD prints record Sofr deal

    The European Bank for Reconstruction and Development ventured out to raise its largest ever bond linked to the secured overnight financing rate (Sofr) this week in what otherwise a thin week for issuance in dollars.

    • 07 Oct 2020
  • Sweden launches two year dollar benchmark

    Sweden hit the dollar market on Tuesday, raising $2.5bn with a two year benchmark in what is likely to be the week’s only SSA dollar supply.

    • 06 Oct 2020
  • Sweden preps two year dollars

    Sweden is preparing to issue a two year dollar bond in what is likely one of the final syndicated deals from eurozone sovereigns this year.

    • 05 Oct 2020
  • ‘EDDI is dead’: market forum opens talks on a different form of harmonisation

    The proposed European Distribution of Debt Instruments (EDDI) project as a one-stop synchronised front to back office platform for the eurozone bond markets is unlikely to come to fruition, with the focus now centred on a far different proposition, according to senior members of a market forum spearheading the talks.

    • 01 Oct 2020