LatAm Bonds
-
-
The Czech Republic’s return to the international bond market after an 18 month absence was greeted with enthusiasm by investors this week. They took the book size to over €3.5bn in around three hours, reflecting appreciation of the rarity value of the only Eurobond the Czechs will issue this year and the strength of the country’s economy.
-
The Dutch State Treasury Agency (DSTA) is set to issue its first ever 20 year bond on March 6, becoming the first sovereign to test a maturity that some believe could become a new benchmark point on the curve as a result of Solvency II. The fact that the euro swap curve peaks at 20 years also commends the tenor.
-
The European Investment Bank this week took advantage of continued demand for triple-A dollar assets and a lack of three year SSA supply to issue a new $3.5bn three year global bond. It is the first three year supranational trade of the year with many EIB counterparts focusing on five year maturities.
-
City of Buenos Aires and Banco Bradesco had the LatAm bond market to themselves this week as volumes remained muted due to Monday’s US holiday and widespread corporate blackouts.
-
Moody’s this week followed the lead of Standard & Poor’s by cutting Belize’s rating to triple-C levels as fears grew over the government’s willingness to service its sovereign debt.
-
Caisse d’Amortissement de la Dette Sociale on Thursday smashed down the barriers that had kept it out of the dollar market since last June — and did so in some style. The French agency claimed its biggest issue size in the currency and only paid a 10bp new issue premium to do so, it said, all in a week when Moody’s placed its sovereign guarantor on negative outlook.
-
Three Latin American companies backed away from the dollar high yield market this week as investors pushed back on price in an atmosphere of renewed uncertainty over Greece.