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  • French and German banks have led the resurrection of the primary covered bond market over the last two weeks, with the sterling market particularly active. They have been making the most of good conditions for borrowers. So far this year, covered bond issuers have paid an average concession of 0.15bp compared to the 2.93bp they paid in 2020.
  • The UK Debt Management Office raised £6bn with its first syndication of the financial year. Although one investor said the spread was more generous than he expected, the trade drew praise for the smoothness of its execution.
  • Trading levels given are bid-side spreads versus mid-swaps and/or an underlying benchmark and bid-yields from the close of business on Monday, April 26. The source for secondary trading levels is ICE Data Services.
  • The Republic of the Maldives has tapped its 2026 sukuk for an additional $100m, bringing the total deal size to $300m.
  • Italy mandated banks on Monday to lead a syndicated dollar dual tranche comprising new three and 30 year bonds as the sovereign continues to build out a curve in the currency following its return to the dollar market in 2019.
  • The European Stability Mechanism raised €2bn on Monday to conclude its second quarter funding with the deal offering a very slight positive yield.
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