European Union

EU bonds perform, even after €30bn rise to annual issuance ceiling for 2026

Issuer's curve could flatten and its long-end may outperform euro govvie curves

◆ Private credit and equity to come under oversight for first time... ◆ ... as Bank of England eases burden on banks... ◆ ... amid global shift to lighten up on lenders, with ECB expected next

Bloc finishes 2025 bond issuance at €153bn, H1 2026 funding plan moves into focus

Rise of central bank and official institution demand bolstering 'super hot' SSA market

New issue premium paid debated ◆ 'A lot of market' had expected dual tranche ◆ EU duration and funding needs questioned

◆ Choice expected, but some predict dual-trancher ◆ Overlap of accounts targeted ◆ Eurofima dollar mandate

Proposed reduction in EU insurer regulatory capital requirements expected to encourage CLO investment

Wholesale and retail CBDCs are moving forward in EU and UK, but there is more push-back on retail version

Several public sector borrowers brought well received deals this week

◆ French woes no trouble for bond behemoth ◆ Another €11bn done, only one syndication left ◆ Fair value remained 'pretty much stable'

Issuer to price seven year tap and new 15 year line as France loses its prime minister, again