Europe

Find out how far European sovereigns have progressed in their 2018 plans as we near the fourth quarter.

Guarantor: Federal Republic of Germany

Crédit Agricole attracted strong demand for its four and 20 year two part covered bond on Friday, partly reflecting the prudent choice of tenors.

UK telecoms provider BT Group avoided competing with six new issues on Thursday and found itself with no competing supply for its latest corporate bond deal on Friday. While BT’s ambitions for the size of its deal this time were more modest than previous trades, the demand was still strong, allowing it to print tight to secondary levels.

The Covered Bond Marker is a confidential survey designed to show what the market really thinks about the latest covered bond deals. Market participants are cordially invited to mark a range of recently priced euro benchmarks.

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How green should a green bond be? Should the company issuing the green bonds have to be green itself, or is it enough that the projects that the bonds are funding are of a hue most verdant? And just how green are those projects they are funding?

State-owned German rail operator Deutsche Bahn took the opportunity to make the most of the European Central Bank’s corporate bond buying programme when it sold a €500m 12.5 year deal on Thursday.

The euro public sector market for 10 year deals encountered a steep sell-off in secondary and underperformance in primary this week, as investors take a cautious approach as the European Central Bank’s quantitative easing stimulus comes to a close at the end of the year.

Northern Ireland Electricity, the country’s electricity grid operator, overcame any fears investors may have had about the Irish border issue in the ongoing Brexit negotiations when it upsized its deal on a rare visit to the capital markets on Thursday.

French construction and concessions group Vinci sold its first public benchmark corporate bond deal in more than five years on Tuesday and was overwhelmed by both the quantity and quality of its order books for the dual tranche deal.

French car maker Renault extended its maturity profile with a new eight year deal on Thursday. The decision resulted in a deal more than three times subscribed and at a new issue premium of just 5bp.