FIG bond issuers this year have been enjoying favourable conditions and heavy demand, but there is growing scepticism that it will continue. Some analysts believe spreads and new issue premiums cannot shrink much further.
Although the financial institutions primary bond market has seen little activity this week, banks have enjoyed oversubscribed deals and tightening spreads so far this year.
Bank investment grade issuance reached a volume of around €11bn over 16 deals in April, according to Dealogic. Almost €58bn has been issued