Morning Commentary: Spread tightens on Iraq notes due 2023; Qatar banks in focus

By Rebecca Melvin

New York, Oct. 17 – The Republic of Iraq’s 6¾% notes due 2023, of which $1 billion priced on Aug. 2, were tighter by about 25 basis points early Tuesday after widening out for about the past week, according to a market source

On Monday, the Iraq 6¾% notes closed about 10 basis points wider and had been about 25 bps wider on the week.

Iraqi troops were reported to have seized the city of Kirkuk and parts of the Kurdish forces agreed to withdraw, relinquishing control over a large area of northern Iraq. But the situation remains somewhat unstable with some division among Kurdish forces, which fought to drive Islamic State from the territory, about complying with the withdrawal.

Elsewhere, Qatar National Bank reported strong results for its third quarter, with the bank’s financials remaining strong despite the ongoing crisis between Qatar and a Saudi-led group of countries demanding changes regarding what it views as policies supportive of terrorism.

EM market players are watching for new Qatari debt, including Qatar National Bank, which needs to refinance funding that is maturing in the next year.

© 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.