Banks spurn buoyant senior market

Even after a rally of almost 70bp in senior CDS and some secondary market tightening, the newly reopened senior debt market is still too expensive for many banks, FIG bankers said this week. Supply evaporated as a result, with a £400m eight year from DNB (see separate story) the week’s only new issue after a flood of some €20bn of senior unsecured in the first two weeks of the year.