ITraxx Suite Bucks Tightening Trend

Months of spread tightening on the European iTraxx suite reversed this week on the back of players exiting long bond/short credit-default swap positions.

  • 19 May 2006
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Months of spread tightening on the European iTraxx suite reversed this week on the back of players exiting long bond/short credit-default swap positions. Traders said last week's downturn in the cash equity markets acted as a signal for people to take profit and buy protection on the indices, which drove spreads wider. "People have been trigger-happy calling the chop," said one London-based trader.

The five-year European Main index broadened to 30.5 basis points Tuesday from 26 bps last week, five-year crossover to 252 bps from 225 bps and the five-year HiVol to 54.25 bps from 45 bps over the same period. There was also widening in index tranches, with iTraxx seven-year 3-6% 25 bps wider at 155 bps.

Credit officials, however, don't expect the widening trend to last. "The sell-off will run out of steam," said one strategist ata European house, who noted it was speculative trading pressure driving the blowout and these positions could be reversed again shortly.

  • 19 May 2006

All International Bonds

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • Today
1 Citi 70,767.73 236 8.54%
2 JPMorgan 65,265.75 234 7.88%
3 Barclays 56,658.40 187 6.84%
4 Bank of America Merrill Lynch 49,197.71 178 5.94%
5 Deutsche Bank 44,635.32 162 5.39%

Bookrunners of All Syndicated Loans EMEA

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • Today
1 Bank of America Merrill Lynch 6,812.19 7 16.21%
2 Deutsche Bank 3,538.77 6 8.42%
3 Citi 2,570.45 7 6.12%
4 Commerzbank Group 2,532.05 5 6.02%
5 BNP Paribas 1,798.71 8 4.28%

Bookrunners of all EMEA ECM Issuance

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • Today
1 UBS 998.25 3 11.59%
2 Citi 801.18 3 9.31%
3 Morgan Stanley 606.80 4 7.05%
4 Bank of America Merrill Lynch 509.34 3 5.92%
5 SG Corporate & Investment Banking 431.66 3 5.01%