Pre-migration untagged articles

Banesto (Banco Español de Crédito) this week launched the first single issuer cédulas since the beginning of June, a Eu1.25bn three and a half year mortgage backed issue that was priced on Wednesday.

Sovereign, supranational and agency borrowers sold a large volume of European commercial paper this week. This was at least partly because of the favourable basis swap from dollars into euros, believe traders.

Highly rated borrowers found favour from private placement investors this week as France’s Caisse des Dépôts et Consignations and Sweden’s Kommuninvest both sold Eu50m five year notes.

Bayerische Landesbank launched the first new jumbo Pfandbrief since early July on Thursday, but although investors placed orders of almost Eu4bn for the Eu1bn eight year issue, market participants are concerned that German covered bond trading levels may be unsustainable.

Corporate issuance in the European commercial paper market increased this week, while market participants say that borrowers are issuing for arbitrage while dealers are taking paper on to their own books.

KBC Ifima, Iberdrola and Banesto all found demand for equity linked MTNs this week, as other issuers took advantage of continuing demand out of Asia for dollar callable zero coupon and range accrual notes. Overall though, structured flows remain stunted.

Dealers of private EMTNs: Non-syndicated deals for less than $250m excluding financial repackaged SPVs, GSE issuers, self-led deals and issues with a term of less than 365 days.

The Republic of Poland sold a Sfr750m five year bond via Credit Suisse and UBS on Wednesday, in a week when Swiss investors proved open to names that might previously have been unwelcome.

Kommunalkredit Austria launched a new Eu3bn European commercial paper programme on Monday. Dealers said the facility was well received at a time when spreads continue to tighten and tenors lengthen.

Dealers of private EMTNs: Non-syndicated deals for less than $250m excluding financial repackaged SPVs, GSE issuers, self-led deals and issues with a term of less than 365 days.

Commerzbank and Oaktree Capital priced Oaktree European Credit Opportunities 2009-1, a Eu830m equivalent collateralised debt obligation, on Thursday.

Deutsche Postbank and Westfälische Landschaft Bodenkreditbank have leveraged off a tightening of Pfandbrief spreads to increase public sector benchmarks at levels well inside where the initial issues were priced earlier this summer.