Hangzhou Hikvision sells notes on topsy-turvy session for EM; Lat-Am names see wild swings

By Christine Van Dusen

Atlanta, Feb. 3 – China’s Hangzhou Hikvision Digital Technology Co. Ltd. sold notes on yet another topsy-turvy session for emerging markets assets, which were quiet and timid as equities suffered and then bounced back as oil prices rose.

Most of the light volumes focused on names like Brazil-based Petroleo Brasileiro SA, Vale SA and some high-grade credits from Mexico.

“With the move in stocks, oil and U.S. Treasuries I was expecting more drama on the open, but so far it’s been rather orderly,” a trader said. “Spreads are wider with Treasuries, but we have not seen the scramble for the door that we saw in January.”

Investors continued to selectively buy risk, another trader said, and seemed to have “a more constructive attitude” about emerging markets.

By the end of the day, Latin American credit had gone through “wild swings” as the market “looked to be selling off when we came in, but a pop in oil saw a big reversal to the upside,” a New York-based trader said.

Corporates from Latin America were timid and sluggish at the start of the day, then saw a “huge” turnaround on oil, another trader said.

In other news, Turkey’s Koc Holding AS is looking to issue up to $1 billion of bonds this year, a market source said.

© 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.