HALISTER1: EU CREDIT DAILY: Primary Market May Drive Action; Vodafone Beats

EU CREDIT DAILY: Primary Market May Drive Action; Vodafone Beats

(Bloomberg) -- Asian risk markets trading higher overnight suggests a more buoyant tone Tuesday in European credit; weaker price action in synthetics reflects underlying fragility in risk asset sentiment, Bloomberg strategist Simon Ballard writes.
  • Market participants will be hopeful of a pickup in trading volumes today after Monday’s holiday, led once again by the primary market
    • Banco Hipotecario 2020 tap extends sale to May 18; may see less benefit than expected from recent sovereign issue
  • Risk Appetite model shows volatility contained, even as spread dispersion increases
  • CDX IG closed +0.03bps at 81.52 in overnight session; iTraxx Asia Ex Japan IG currently -1.8bps at 142.83
NEWS
  • Corporate News
  • Vodafone 4Q Organic Service Revenue Growth Beats Ests.
  • Premier Foods Raises FY17 Sales Growth Outlook
  • Iliad First-Quarter Sales Increase 6.6% on Wireless Promotions
  • AstraZeneca Says Benralizumab Studies Achieved Primary Endpoint
  • Financial News
  • Dutch Banks Leap to Fill Commodity Trade-Finance Gap Left by BNP
  • BBVA Creates Global Finance Division, Expansion Reports
  • Emirates Islamic Bank to Hold Bond Investor Meetings for Sukuk
  • Banco Hipotecario Extends Bonds Sale Close to May 18
  • Credit Rating News
  • S&PGR Rates Westpac Banking Corp.’s Capital Notes ’BBB-’
  • S&PGR Afrms Rtgs On Suramericana Subs, Outlook Neg
  • Other News
  • BlackRock’s Fink Says ‘All Have to’ Worry About China Debt
  • After 41 Years, Saudi Arabia’s Treasuries Holdings Are Unveiled
ANALYST VIEWS
  • The word is that primary is going to burst out of the starting gates (in) this shortened week. All said, the pressure on secondary is very limited given the amount of supply seen over the past couple of weeks (courtesy of the ECB impending grabfest): creditmarketdaily.com
NEW ISSUES
  • Zero New Issuance Monday; 5th Zero Day Of The Year
  • European IG credit pipeline here and HY credit pipeline here
  • Issuers exposed to S-T rollover and interest-rate reset risk here
  • NOTE: Simon Ballard is a credit strategist who writes for Bloomberg. The observations he makes are his own and are not intended as investment advice.
Alert: HALISTER1
Source: BFW (Bloomberg First Word)

Tickers
VOD LN (Vodafone Group PLC)

To de-activate this alert, click here

UUID: 7947283