United States

The US corporate bond market enjoyed a busy period of issuance this week, as expectations of a rate cut rose and trade tensions with Mexico eased. But concerns still linger over dwindling supply.

BNP Paribas has hired a banker from SMBC to fill the vacant position of head of US private placements.

The sterling corporate bond market has shown surprising strength for issuers in short maturities this year, but on Wednesday its traditional forte shone through — the ultra-long end, where, as so often, the curve is inverted. Berkshire Hathaway found such good funding there that it scrapped a planned euro issue altogether and raised £1.75bn in sterling.

Chinese brokerage Huatai Securities has received one of two approvals needed to spin off its subsidiary AssetMark Financial Holdings in the US.

Wanda Sports Group Company is seeking US Securities and Exchange Commission approval for a float of American Depository Shares (ADS).

In this round-up, US treasury secretary Steven Mnuchin called the talk with Chinese central bank governor Yi Gang ‘candid’ on Twitter, the Mainland warned domestic tourists and students against planning trips to the US, and both the World Bank and International Monetary Fund (IMF) lowered predictions for Chinese GDP growth thanks to trade tensions.

The list of companies that have declared their support for the Task Force on Climate-Related Financial Disclosures has grown to 671, with a combined market capitalisation of $9.3tr. This is up from 457 worth $7.9tr in September. The TCFD Secretariat issued its second status report on adoption of the recommendations this week.

Dollar corporate bond issuers enjoyed bulging order books and tight spreads this week, as the high grade market shrugged off fears over the economy following soothing words from the chairman of the US Federal Reserve.

The US holding company of Spain’s Santander made its first trip to the dollar bond market in almost six months, as issuers made the most of improving conditions.

Securitization investors and traders have told GlobalCapital that CLO anchor investor Norinchukin Bank has taken a step back from both the US and European markets. As Tom Brown writes, some have suggested that the bank’s domestic regulator has voiced concerns about its surging holdings of senior CLO debt.

Chinese online tutoring company GSX Techedu has raised $207.9m after pricing its US listing at the mid-point of guidance, according to a source familiar with the matter.

The American lender issued a dual tranche transaction on Wednesday, its first ever euro-denominated bond. It is the first American regional bank to go to market since May 2017. Meanwhile, Aegon Bank is looking to issue its first senior non-preferred bond in the currency.