Sterling

◆ Cades and IADB both print July 2031 lines ◆ Secondary performance shows investor appetite ◆ Order books lower than earlier this week

◆ British building society places first sterling covered of 2026 ◆ Order book surpasses £3bn ◆ First tranche hit fair value, second offered 2bp premium

◆ Asian Development Bank gets £5.2bn of demand ◆ Some bankers question pricing versus dollars ◆ Digestion of £5bn supply 'warrants watching'

◆PacLife the sole sterling note on the day ◆ Follows two FABN trades on Monday ◆ 'Sensitive' book drops by almost half as leads tighten within 5bp of NY Life's Monday note

◆ Two banks launch deals in same tenor and asset class ◆ Danske secures tighter price◆ Nationwide's book 'underwhelms'

◆ New York Life and MetLife hit sterling market ahead of dollar funding ◆ Both sterling deals fare better than simultaneous bank duo ◆ More FABNs likely to follow

◆ Issuer achieves record order book and deal size for new sterling line ◆ Investors eager for SIB label ◆ Callables and Sofr debut eyed

◆ Largest sterling non-UK sovereign book ◆ New issue concession ◆ Bank treasuries clamour for HQLAs

Diverse mix of companies to get issuance going but will have to navigate Epiphany

Investors look to short-dated sterling as more rate cuts from BoE expected

The European FIG market rode through 2025 on high demand for credit, providing bank issuers, large and small, with extremely advantageous funding conditions. Although investors have also benefitted from strong secondary market performance, as Atanas Dinov reports, that equilibrium may change in 2026, with anticipation mounting that spreads will widen

The public sector bond market digested more than $900bn of benchmark syndications in the first 10 months of 2025, close to the amount raised the previous year. New issue premiums varied by currency, with the biggest annual change in the euro market, writes Sarah Ainsworth