SINGAPORE, April 24 (IFR) - Risk appetite improved after
Emmanuel Macron and Marine Le Pen took the top two positions in
the first round of the French presidential election, with Macron
expected to win the runoff, but sharp moves in eurozone yields
were not reflected in Asian credit.
Beijing Enterprises' 2022 euro-denominated bonds, the most
recent Asian issue in the currency, held steady at a 189bp
spread over Bunds, but in absolute yield terms widened 11bp to
yield 1.5%, as core eurozone bond yields rose.
Ten-year yields for France and peripheral eurozone countries
compressed 8bp-14bp this afternoon.
The Asia ex-Japan iTraxx investment-grade index was
unchanged at 95bp/96bp, with only one new dollar issue in the
"We are coming up to a few holidays and there are only going
to be a few windows to issue bonds," said a syndicate banker.
Fosun International's 2022 bonds dropped a quarter of a
point to 101.275, following its US$600m tap on Friday.
China Zhenshang Bank's 5.45% Additional Tier 1 bonds were
quoted at 99.75 bid, according to Tradeweb, ahead of more
potential offshore AT1 supply from mid-tier Chinese institutions
like Nanyang Commercial Bank and Harbin Bank.
1Malaysia Development's 2022 bonds jumped to a cash price of
109.25, from 108, after unconfirmed reports over the weekend
that it had reached a settlement with Abu Dhabi's International
Petroleum Investment Company.
Those bonds were issued with a guarantee from IPIC, before
the two parties fell out in a dispute over payments.
1MDB's 2023s, which were issued without a guarantee from
IPIC, were bid at 93.5.
(Reporting by Daniel Stanton; Editing by Vincent Baby)