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A$ Snr Bank Debt Out-Performs, Asia IG Steady Ahead Of US CPI

CREDIT UPDATE
  • Asian equities surged higher today, with tech stocks lifting Japan, Taiwan & South Korean markets, while Hong Kong & China equities were boosted after China is looking to impose strict measures to curb short selling and quantitative trading strategies.
  • Aus credit spreads continue to move tighter, Major Bank Snr debt is trading at all time lows and outperforming moves in Major Bank Sub lines a touch, while corps are 1-2bps tighter with many names trading at all time lows, infrastructure names are the top performing today.
  • It has been a slow day in Asia today, with the Asia IG index little changed, tech names are about 1bps tighter, while Metals & Mining names about 1bps wider. Asia sovs are steady as we await US CPI later today.
  • Aus iTraxx CDS is 0.5bps lower at 61bps & Asia Ex-J iTraxx is also 1bps lower at 91.5bps
  • Headlines: " China Regulator Said to Ask Some Banks to Shorten Bond Duration" - BBG
  • Primary Deals: CLP Power Hong Kong A$ Benchmark 3Y FXD and/or FRN Bonds, Mirae Asset USD 3 or 3.5Y Bond

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