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Asian credit markets saw less buying interest than yesterday as new issues posted mixed performances.
"Buying momentum was not as strong as yesterday and we did not see big movements in the investment-grade sector, but overall sentiment remained sound, " said a credit trader with a Chinese bank.
The iTraxx Asia ex-Japan investment-grade index was 0.14bp tighter. Citic's new 2022s were 2bp tighter but its new 2027s were 5bp wider.
New offerings from Chinese property developers had diverging performances.
Xinhu Zhongbao's new 2020s were spotted around 100.5, while China Jinmao Holdings's new 2022s widened by 5bp with some blaming the weakness on aggressive pricing.
The high-yield sector was generally weaker as some selling pressure emerged. "In my view, the rally in Asia's high-yield sector is unlikely to be sustained and a mild correction is needed," said a Hong Kong-based credit analyst.
Reporting by Ina Zhou; Editing by Vincent Baby