Asian Development Bank ADB

The Asian Development Bank (ADB) sold a tap of four year Kauri debt on Tuesday, with what was envisioned as a small reopening growing to more than twice the minimum target.

The Asian Development Bank has launched a tap of four year Kauri debt, with leads expecting to price the bond on Tuesday morning.

The Inter-American Development Bank (IADB) on Tuesday failed to silence those who thought that tight pricing on a dollar deal in the difficult seven year maturity was not the way to assure itself of a blowout book. It was set to print a $1bn trade on Tuesday afternoon where the book failed to reach full subscription. Kommuninvest, meanwhile, received a very different reaction when it went for a deal at the short end of the dollar curve.

The Kingdom of Sweden issued its third successive foreign currency deal in as many months with a surprise three year dollar bond announced on Thursday morning. Despite pricing of mid-swaps less 6bp – a record low for 2013 – books were well over $1.2bn and a $1bn trade is on course for pricing later this afternoon.

The lack of yield on offer in dollars and euros is encouraging investors to look towards niche and local currencies in an effort to maximise the return on their investment. With the EBRD selling its first ever Vietnamese dong bond this week, niche currency bankers are confident in the outlook for emerging market currencies.

Nederlandse Waterschapsbank is likely to issue a three year next week to capitalise on strong demand from reserve managers and bank treasuries for short dated dollar assets. The appetite for three year dollars was unabated on Wednesday with FMS Wertmanagement receiving $2.6bn of orders for a $2bn deal in just under two hours of formal bookbuilding, and this despite $4.5bn of similar supply from the Bank of England and Asian Development Bank in the past two days.

Germany’s FMS Wertmanagement mandated banks to run a three year global on Tuesday, joining the Asian Development Bank and Bank Nederlandse Gemeenten in the hunt for dollars this week.

A quiet dollar market left space for sterling issuance on Monday, with both the European Investment Bank (EIB) and the Asian Development Bank (ADB) launching deals. The former plumped for a five year floater while the latter priced a tap of three year notes.

The European Bank for Reconstruction & Development (EBRD) opened a long-awaited dollar trade on Monday afternoon, following a rise in Treasury yields late last week. However the book build on the seven year deal was slow, which bankers attributed to investors expecting yields to back up further.

The Asian Development Bank priced its first Kangaroo deal of 2013 on Tuesday — a long five year trade. The Nordic Investment Bank also capitalised on investor demand for niche currency debt to sell a New Zealand dollar tap.

The Asian Development Bank (ADB) launched its first Australian dollar bond of 2013 on Monday morning, Sydney time, taking advantage of good investor appetite for the currency. The opening weeks of the year have seen good interest in the Aussie dollar owing to the high yields on offer and positive sentiment regarding the currency.

The African Development Bank (AfDB) will become the third supranational borrower this week to price a dollar benchmark trade proving that there is adequate appetite for rich paper from top quality borrowers despite the meager yields and tight spreads on offer.