The financial institutions bond market has absorbed an enormous volume of supply over the past month, putting a strain on trading levels for outstanding securities. FIG bankers nonetheless expect that spreads could start to tighten once more in the coming weeks, amid a calmer flow of new issuance.
The primary market was quiet on Thursday, with a public
holiday in Germany giving issuers the perfect excuse to take a breather.
But financial institutions including Allied Irish Banks, Banco Santander
have raised senior and subordinated debt worth €5.5bn this week, backed