Emerging markets buoyed by rates; many sovereigns firm; Abu Dhabi Crude Oil notes active

By Rebecca Melvin

New York, Oct. 30 – The emerging markets were buoyed Monday by firm rates and the assumption that Federal Reserve governor Jerome Powell is the nominee to be the next chairman of the Federal Reserve, according to market sources.

“It’s a busy start to the week,” a London-based trader said, adding that the long end of many sovereign credits were “very firm,” including Egypt’s 2047 notes, which were 112½ and tighter by 20 basis points over the month. And Lebanon bounced back from wider spreads notched last Thursday but remained 15 bps to 20 bps wider on the month.

Abu Dhabi Crude Oil Pipeline LLC’s two new tranches were active and just slightly tighter in terms of spread. The Abu Dhabi 4.6% notes due 2047 were 101¼ bid, 101½ offered last, compared to a up to 100½ bid, 101¼ offered on their debut on Friday.

In primary market activity, Caracas, Venezuela-based regional lender Corporacion Andina de Fomento plans to sell dollar-denominated notes in a Securities and Exchange Commission-registered deal, according to a filing.

The non-callable notes are being sold via joint lead bookrunners Barclays Bank plc, Deutsche Bank Securities Inc. and HSBC.

Proceeds will be used to repay $1 billion floating-rate notes due January 2018, which currently accrue interest at 1.861%.

© 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.