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CREDIT UPDATE: € Credit Close

CREDIT UPDATE
  • Government yields traded a touch higher for most of the session, before tightening after the US open reportedly on flows.
  • Stocks opened higher following the hung parliament outcome in France. Risk faded later in the session to leave levels little changed with SPX / SXXP both +0.1%. Maersk traded lower on potential Gaza talks, K+S on a broker downgrade. Corning rallied with preliminary results ahead of consensus.
  • €IG cash was firm again, 1-2 tighter overall. LEASYS was up to 6 wider on issuance, THAMES up to 40c wider again ahead of Ofwat draft determination this week. 
  • Primary started the week with deals from LEASYS, TOYOTA and ESTONE hybrids. Announced mandates suggest an active week.
  • CDS was firm with the France event behind us. Main / XO left -1.9/-8bp.

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