Americas

Central American development bank Cabei (Central American Bank of Economic Integration) sold $100m of dollar bonds to Japanese insurance companies earlier this month to complete its financing needs for 2018, the lender said.

In this round-up, People’s Bank of China (PBoC) signs a currency swap with Indonesia, Shanghai and Shenzhen Stock Exchanges publish rules to limit the length of trading halts, and the Chinese authorities publish new rules to boost the domestic free trade zones (FTZs).

In a shortened week in the US there was still time for heavy volatility in Lat Am bond markets, with sharp moves in Mexico particularly concerning for DCM bankers.

Some Latin American DCM bankers think the year is over for new issuance, and several are indeed wishing it already were. Though much of what put the brakes on in Lat Am this year will continue to affect the market in 2019, bond bankers should find reasons to believe January will be better.

Another bruising week for equities is testing frayed nerves in equity capital markets, with this week’s US tech-stock sell-off adding to worries about issuance in 2019, writes Sam Kerr.

Investors have become more cautious about a popular derivatives volatility trade amid concerns of increased US equity turbulence in the weeks and months to come.

Takeda Pharmaceutical, the Japanese firm buying UK rival Shire, defied tough market conditions to press ahead with a $5.5bn trade to help fund its $62.5bn acquisition ahead of the Thanksgiving holiday.

Bankers in the corporate bond market still have a number of deals on their pads to try to execute ahead of the end of 2018. None was successful this week, but that hasn’t dented their ambition.

Investors in Latin American bonds are giving thanks this week, as Wednesday brought some small respite on Wednesday ahead of Thursday’s US holiday. Some of the region’s more battered paper rallied slightly — though the consensus is still that issuance is finished for the year.

TrueEX, the New York-based electronic trading platform provider, will carry on its legal fight against 11 dealers after a US district court ruled against the banks' motion to dismiss the suit.

US medical technology company Stryker is still looking to bring its debut euro transaction following its recent roadshow, but is waiting for market conditions to improve before pushing its triple-tranche offering into the market.

Bankers insist that the market, though deserted, is still open for at least a couple more weeks, but with the new issue premiums investors are demanding, it is difficult to persuade issuers to print.