Europe

Fondo de Amortización del Déficit Eléctrico braved volatility in the eurozone periphery bond market on Wednesday for its second benchmark of the year.

Agence Française de Développement mandated banks on Wednesday for a 15 year euro benchmark amid rising investor appetite in that part of the curve.

SSAs are enjoying strong conditions in dollars, with KfW and the Province of Ontario finding plentiful demand on Wednesday despite bringing deals that on-looking bankers said were “pretty much” in line with secondaries. Kommunalbanken will price a dollar benchmark on Thursday that leads said was following a similar pattern.

SR Boligkreditt issued a €750m seven year with a slim new issue concession showing that the primary covered bond market is still receptive, despite the rates market volatility seen earlier in the week.

Investors in speculative grade debt are joining the discussion about the potential conflict over fiscal policies between Italy and the European Commission. But the leveraged finance markets are still keeping busy.

Global fintech M&A has surged by more than a quarter year-on-year by value, as consolidation grips the upper echelons of the market.

Shurgard Self Storage, a European operator of self-storage facilities, has revised the price range for its €575m IPO on Euronext Brussels and is covered throughout the new range, despite a difficult market where several deals have been pulled and others have traded down in the aftermarket.

Luminor Bank, an Estonian financial institution, was looking to place a small senior unsecured deal in the euro market on Wednesday, in spite of volatile market conditions. The transaction will be the issuer’s first step towards reducing its reliance on bank facilities as a means of funding.

Covered bond issuance is set to grow next year as lenders refinance central bank liquidity, say analysts. A survey by the European Banking Authority also indicates covered bond funding will "remain dynamic".

Sibur, the Russian petrochemical company, announced a bond buy-back on Tuesday, targeting the borrower’s October 2023 bond.

Corporate bond markets have enjoyed a good run since returning from the summer break. But for the first time since then, an external problem is causing turbulence. The Italian budget has become a live factor in market participation for buyers.

Turkey is braced for one of the most important political events of what has been a turbulent year; the hearing of US pastor Andrew Brunson. The consequences could shape Turkey’s recovery from its recession. Elsewhere, a Russian mining company's loan showed the country is not quite closed for business, and after weeks of quiet, Latin American markets have bounced into life.