Long end beckons in Kangas as IADB taps belly

By Nathan Collins
24 Jul 2014

A favourable basis swap and attractive opportunities at the far end of the curve are likely to spur European agencies to take to the far end of the curve in Australian dollars in the coming weeks. Opportunities also exist in the belly of the curve, however, with the Inter-American Development Bank benefiting from an attractive spread over local public sector paper for a long five year this week.

“We continue to eye the seven to 10 year part of the curve for opportunities,” said Stefan Goebel, head of treasury at Rentenbank. “Particularly in Kangaroos — such as tapping our 2025 line which we opened in early July — as swap levels are attractive."

Rentenbank ...

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