EM ASIA CREDIT: MNI EM Credit Market Wrap - Asia
MNI EM Credit Market Wrap - Asia
Measure Level Δ DoD
5yr UST 4.4% -1.1bp
10yr UST 4.6% -1.2bp
China CDS 56.2 -0.2
India CDS 34.0 0.1
Indonesia CDS 74.4 0.0
Korea CDS 33.7 -0.8
Malaysia CDS 45.4 -0.5
Philippines CDS 63.7 0.4
Thailand CDS 43.4 0.1
5s-10s UST 17.3 -0.1bp
WTI Crude 75.4 -0.0
Gold 2755 -1.8
USDCNY 7.3 +0.01
USDKRW 1,439.7 +3.62
USDPHP 58.7 +0.19
USDIDR 16,284.0 +4.00
USDTHB 34.0 +0.10
USDMYR 4.4 +0.01
USDINR 86.5 +0.18
"The main stories out of the region"
News flow today was a mix of results and new issuance. In terms of issuance, we saw new $ benchmarks from the Philippines, a 10y and 25y, in which we estimated FV of T+85bp (IPT+120a) and 5.8% (IPT 6.1%a). In addition, Korea Development Bank came with a $ benchmark 3y and 5y with IPTs more or less on the existing liquid curve, leaving very little premium in our view.
In terms of the main results, LG Electronics reported Q4 operating profits 57% lower YoY, and well below consensus. The reported figure was also lower than the amount guided only two weeks earlier. Finally we had Hyundai Motor reporting its Q4 results also well below consensus.