Central banks snap up SSAs to offset low yields

In an effort to offset yields that are down to all-time lows, central banks and official institutions piled into sovereign, supranational and agency dollar debt this week. Caisse d’Amortissement de la Dette Sociale (Cades) and L-Bank harnessed the strength of this demand to each issue $1.5bn three year Eurodollar bonds, while bankers expect further European agencies — potentially including KfW— to surface after Monday’s Columbus Day holiday.