DUBAI, Nov 6 (Reuters) - Spreads for Saudi Arabia’s international bonds widened slightly in early London trade on Monday in response to the government’s anti-corruption crackdown, which has detained dozens of people from the kingdom’s political and business elites.
The spread on the Saudi 30-year sovereign bond maturing in 2046 widened about 5 basis points. Traders said activity was quiet and there was no panic; some foreign funds sold at the long end of the curve, where their investment is concentrated, while Gulf regional investors held on to their positions.
The Saudi riyal weakened marginally in the forwards market. One-year U.S. dollar/riyal forwards were quoted as high as 183 points, their highest level since late September, compared to Friday’s close of 115 points. They remained far below this year’s peaks around 400 points. (Reporting by Davide Barbuscia; Editing by Andrew Torchia)