Pre-migration untagged articles

Groupe Caisse d’Epargne kept books officially open for just half an hour on its Eu1bn two year debut covered bond on Monday to minimise execution risk, but could do nothing to avoid the repricing of the market that continues.

Australian dollars, Icelandic krónur, and Norwegian kroner were the only currencies venturing out in the tumbleweed in the markets this week. Emerging markets investors also turned their attention to Africa, as the Nigerian Ministry of Finance announced plans for a naira bond.

BayernLB seeks private investor

Structured and vanilla new issue supply was light this week as a heaving public issuance pipeline and Lehman Brothers’ travails dulled the appeal of private placements for investors, now even more risk averse than ever.

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

Moody’s and Standard & Poor’s issued statements criticising the European Commission’s proposals for the regulation of ratings agencies this week.

US dollar swap spreads narrowed sharply this week in the wake of the rescue of Fannie Mae and Freddie Mac because of the perceived fall in systemic risk.

Sovereigns found plenty of demand in the European commercial paper market this week, with investors seeking a safe place to put their money while the bearish mood prevails.

Issuers managed to bring three deals to market this week, even if conditions remained volatile in the wake of the US rescue of Fannie Mae and Freddie Mac.

Commerzbank made use of the GSE relief rally on Monday, raising Eu1.1bn in a share placement that was five times covered and gives it a 10% increase in outstanding share capital.

Citigroup this week launched a record ¥315bn ($2.91bn) Samurai bond targeted at retail investors, becoming the latest global financial institution to turn to the Japanese market in search of much-needed funding. The deal pays a healthy spread of 207.73bp over swaps and comes as banking rivals Credit Suisse and ANZ are also looking to sell Samurai bonds — though both are targeting much tighter spreads. Read EuroWeek on Friday for more, and to find out why Japan has become the preferred source of funding for some of the world’s biggest banks.

Issuers pounced on the surge in confidence, however transitory, prompted by the US Treasury bailout of Fannie Mae and Freddie Mac, capitalising with a string of new issues in both the senior and subordinated markets. RBS and Bank of Nova Scotia were among the early borrowers taking advantage, but is the window shutting earlier than expected and what will it take now to reopen it?