A fleeting window for peripheral non-SIBs

Bankinter’s blowout three year Cédulas was a trade that had seemed almost unimaginable until the curious decision by Moody’s to reaffirm Spain’s Baa3 rating. The agency’s reprieve has opened a funding window for other less systemically important covered bond issuers who want to demonstrate that they still have market access. But borrowers must be ready to move quickly as sentiment could easily sour.