China Development prices bonds; Burgan, SECO see demand; Pakistan, Ethiopia deals ahead

By Christine Van Dusen

Atlanta, Nov. 25 – China Development Bank sold notes on Tuesday and long-dated bonds from the Middle East saw demand as the move in Treasuries gave support to emerging markets assets.

Investors were attracted to names like Saudi Electricity Co., International Petroleum Investment Co., Bahrain and bonds from throughout Abu Dhabi and Dubai, a London-based trader said.

And investors clamored for Kuwait-based Burgan Bank SAK’s 2020s, which traded at 117˝ bid, about 20 basis points better than in previous sessions.

In other trading, bonds from Ukraine have experienced something of a sell-off so far this week, said Svitlana Rusakova of Dragon Capital.

“The sovereign sold off on no apparent headline drivers, giving up Friday’s gains and then some more,” she said.

But solid demand remained for the State Export-Import Bank of Ukraine’s (Ukreximbank) 2015s and bonds from OJSC Oschadbank.

Looking to Latin America, most sovereign bonds ended Tuesday with tighter spreads as the tone remained positive, a New York-based trader said.

Most corporates from Latin America firmed up throughout the day, another New York-based trader said.

In deal-related news, Pakistan set talk in the 6 7/8% area for its five-year issue of dollar-denominated and benchmark-sized Islamic bonds.

And Ethiopia has planned a roadshow for a dollar-denominated issue of notes due in 10 years.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.