In an illustration of the spread tightening under way in covered bonds, Deutsche Apotheker-und Aerztebank (Dapo) priced a 10 year inside its curve this week. At the same time Raiffeisenlandesbank Vorarlberg followed DZ Bank into the 15 year tenor to give a tempting reoffer yield of almost 50bp.
The euro covered bond market was in good shape on Wednesday
as two issuers followed the three that brought well-received deals on Tuesday.
Both of Wednesday’s transactions were well subscribed, with the pricing levels suggesting that the
direction of travel is for spreads to move tighter.
After being absent