SINGAPORE, Aug 25 (IFR) - Asian credits were steady in muted trade as markets awaited the outcome of the central bank meetings in Jackson Hole, Wyoming, for fresh indications of monetary policies.
“Traders are sidelined and it’s all very quiet,” said one Singapore-based credit trader.
The market tone was constructive as Asian credit spreads tightened marginally with the iTraxx Asia investment-grade index narrowing 1bp to 79bp/80bp.
Traders said the new bonds that China Great Wall Asset Management priced yesterday were still not free to trade by the early afternoon. Great Wall and its leads were heard working to readjust the pricings to take into account a leap year in 2020.
As for cash bonds, Hyundai Capital 2022s and 2027s tightened 5bp-7bp from the respective reoffer spreads of 135bp and 155bp over US Treasuries.
Cheung Kong Infrastructure’s perpNC5 were at 99.10/99.40, reflecting a gain from 98.75 on Monday, but still below reoffer at par.
Among high-yield credits, Gajah Tunggal’s 8.375% 2022s saw a slight bounce after Moody’s yesterday upgraded its corporate rating to B2 from Caa1. The 2022s were at 100.9/101.4, up from 100.22 on Wednesday.
Reporting by Kit Yin Boey; Editing by Dharsan Singh