Vale sells notes; Tunisia, China Singyes Solar advance deals; Turkey dips; Ghana, Uruguay eyed

By Christine Van Dusen

Atlanta, Feb. 6 – Brazil’s Vale SA sold notes on Monday – while Tunisia and China Singyes Solar Technologies Holdings Ltd. lined up new deals – during a busier and supportive session for emerging markets assets.

“The positive sentiment from Friday, driven by a favorable U.S. job market report and Trump’s executive order to review banking regulations, including Dodd-Frank, spilled into the new week and maintains the supportive backdrop for EM,” a London-based analyst said.

Buyers were seen for bonds from Philippines and Indonesia, with real-money demand in the long end during the Asian session.

“All eyes are on supply, to meet this continued demand for risk that the market is crying out for,” a trader said. “I would like to see some of the much discussed Middle East supply on the wires – Kuwait, Oman, Saudi Arabia and maybe Dubai. But nothing yet, and the squeeze continues as locals deploy cash in the region.”

In deal-related news, Buenos Aires is on a roadshow until Tuesday, to market a dollar-denominated issue of notes via BNP Paribas and JPMorgan.

Bonds from Turkey – which have outperformed during the last couple of weeks – slowed down on Monday, a trader said.

Investors were also keeping an eye on Ghana, which is in the middle of an audit of undisclosed spending as the sovereign awaits talks with the International Monetary Fund.

And market sources were whispering about Uruguay, which could issue up to $2 billion of notes.

© 2015 Prospect News.
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