Spreads in focus amid Caixabank BPE merger rumours

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Spreads in focus amid Caixabank BPE merger rumours

Renewed speculation about a potential merger between Spain’s Caixabank and Banco Popular Español could lead to Cédulas spread convergence, analysts told The Cover on Friday. Caixabank’s five year Cédulas saw plenty of buying interest this week, but BPE’s recently issued Cédulas remain unloved and are bid around 100bp wider than its peer.

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