HONG KONG, Feb 14 (IFR) - Asian credits rallied on Tuesday
in a strong session for investment-grade and high-yield names.
One of the top movers was Road King Infrastructure, whose
perpetual bonds shot up as high as 102.625 after issuing at par
Orders went over US$5.5bn for a US$300m print. The
fixed-for-life perpetuals were the first such structure for a
high-yield issuer in Asia.
Investment-grade credits also had a very strong day. The
iTraxx Asia ex-Japan investment grade was close to 5bp tighter
by the early afternoon, before moving closer to 3.5bp tighter
towards the end of the session.
Constituent CDS such as Hyundai and Bank of China were about
Benchmark names such as Petronas 2025s and Sinopec 2025s saw
spreads tighten about 7bp and 3bp respectively.
In high yield, yields on Future Land's recent 2020 bonds
were about 5bp tighter, while Indonesian property developer
Pakuwon's 7-year non-call four bonds were about 2bp tighter.
Sovereigns saw a fair amount of constructive movement,
particularly on the shorter-dated side. Spreads on Indonesia's
2022s were about 5bp tighter, while its 2027s came in about 3bp.
South Korea's 2027s tightened 4bp.
Longer-dated sovereigns were somewhat mixed. Yields on the
Philippines' 2042s were 1bp tighter, while Indonesia's 2047s
were 5bp tighter.
(Reporting by Spencer Anderson; Editing by Vincent Baby)
(Reporting by Hillary Teo)