Americas

Peru opened books on its first euro transaction in over a decade on Tuesday morning, while other Latin American sovereigns are eyeing deals in the currency.

Struggling Brazilian telco Oi received a welcome lift in the eyes of its bondholders on Monday after a Russian investment group proposed to invest in the company if it merges with rival Tim.

Peruvian sugar cane producer Corporación Azucarera del Perú (Coazucar) has given bondholders more time to commit to its tender offer as it looks to cut its exposure to the dollar.

The Province of British Columbia (BC) is mulling a debut Panda bond, which would set another record for the province as the first foreign government issuer in China's onshore bond market. However, to go ahead BC will need the Chinese regulator to allow sovereigns into the recently reopened Panda bond market.

Euronext has launched AtomX, a service that offers central clearing for bilaterally negotiated derivatives trades that would otherwise have been over the counter.

Trad-X, the trading platform for global interest rate derivatives, reported on Monday that is has traded more than $2.5tr of swaps since launch, with 2015 having accounted for over half this volume.

Latin America development bank Corporación Andina de Fomento (CAF) has picked leads for a euro transaction and will hold investor calls this week.

Mauricio Macri, the conservative mayor of Buenos Aires, outperformed expectations on Sunday’s presidential elections in Argentina, meaning bond markets may receive a fillip on Monday morning.

In this round-up, the Swiss franc set to become directly convertible with RMB, CCB gets a Zurich branch, QDII2 could launching in Shanghai FTZ, booming RMB trade in Korea, Los Angeles tries to get the edge, DBS launches in Qingdao to leverage Belt and Road plans, and CSOP launches two new China ETFs in New York.

Sovereigns and quasi-sovereigns continue to dominate Latin America new issues, as Uruguay this week showed that attractive all-in funding costs are on offer thanks in large part to low base rates.

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DCM bankers hope that Mexican lender Nafin’s planned green bond could be the first of many from the country, and that other development banks in Latin America will follow Mexico’s model.