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◆ Public sector issuers embrace hedge fund bid... ◆ ... as they flex in the swap market ◆ Car makers welcomed back to bond market
CEB plans to print more structured notes and may launch inaugural Sofr bond in 2026
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New contracts cannot yet be traded in US
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  • Many uncertainties remain regarding derivatives reform even as regulators are finalizing their cohesive definition of swap dealer, according to Fitch Ratings.
  • The Depository Trust & Clearing Corp. has appointed Michael Dunn as non-executive chairman of its U.S. swap data repository, effective May 12.
  • Exchange-traded calls are being bought and puts sold on Morgan Stanley stock, despite rumors the firm might receive a credit rating cut in mid-June from Moody’s Investors Service.
  • Japan is set to become the first country to implement mandatory clearing of over-the-counter credit default swaps and interest rate swaps. The Financial Services Agency will implement the first phase of the reforms from November, according to a draft of its detailed rules and cabinet office ordinance.
  • Institutional investors are still going long the Australian dollar despite the sudden slide of the currency this week, buying three-month out-the-money AUD/USD risk reversals. Appetite for put spreads on the pair has also increased.
  • Markit and Creditex, a subsidiary of the central counterparty IntercontinentalExchange, announced that the two firms will conduct a credit event auction on Sino-Forest Corp. tomorrow, the first such auction to be held in Asia ex-Japan.