Barclays

A surfeit of supply hit the long end of the covered bond curve this week as issuers piled in to take advantage of extraordinarily cheap funding conditions that are unlikely to last long. Bill Thornhill reports.

A dance of low yield limbo is forcing public sector borrowers to rewrite their autumn funding plans as crushed rates have made the short end of the euro curve all but inaccessible. Lewis McLellan reports.

John Langley, who heads global financing and risk solutions at Barclays, the division covering DCM, ECM, leveraged finance and risk solutions, is retiring from the industry. He has been with Barclays for 10 years, and the industry for 26.

The State of North Rhine-Westphalia sold on Thursday the longest dated benchmark ever from a German state, in a move which may encourage other Laender to follow suit.

The Brexit vote has damaged banks’ UK hiring plans and left their revenue projections in tatters, but the country’s status as Europe’s biggest fee pool will remain intact, writes David Rothnie.

Bank Nederlandse Gemeenten has tapped a June 2024 line, managing to print €400m despite offering a negative yield. Land NRW will sidestep the negative yield problem on Thursday by moving out the curve.

Barclays has set final pricing on its AT1 deal, placing the deal at 7.875%, the tight end of guidance, on a book of over $11.5bn. The deal follows UK trades from RBS and Standard Chartered a fortnight ago, which gathered combined books of $40bn.

China’s Xinyuan Real Estate opened books for a new three year dollar bond on Wednesday, and is looking to use the proceeds to repay debt, including its outstanding 2018s.

Slovenia intends to buy back up to $1bn of dollar denominated debt following the successful placement of a new euro bond, the country's debt office said on Tuesday.

Barclays on Tuesday announced an additional tier one trade in dollars, taking advantage of an empty despite strong conditions. The deal is expected to be priced on Wednesday.

Deutsche Bank is set to issue the third German Pfandbrief of the week after mandating leads for an ultra-long benchmark. Meanwhile, Deutsche Pfandbriefbank (PBB) has priced the fifth dollar Pfandbrief of the year.

Aluminum Corporation of China (Chalco) priced a larger-than-planned $800m deal on Thursday, taking advantage of strong investor interest that led to a 10x covered book.