Halister News

(Bloomberg) -- Key focus early this week will likely be the fallout from the failed coup in Turkey, with market perhaps looking for further selloff in Turkish risk before any buying opportunity is perceived, Bloomberg strategist Simon Ballard writes.

• Brexit polemic may continue to undermine near-term mkt sentiment even as GBP cash credit benefits from abatement in recent political uncertainty
  • EY Item Club sees U.K. in “short, shallow” recession by early 2017
• EUR cash spreads outperforming as synthetics price action highlights residual caution in investor sentiment
• Risk Appetite Model now heading into early 2008 bullish territory
• CDX IG closed +0.2bps at 76.66 in overnight session; iTraxx Asia Ex Japan IG currently -2.1bps at 118.61

NEWS

• Corporate News
• SoftBank to Buy Britain’s ARM for $32 Billion in Record Deal
• Hapag-Lloyd Sees a ‘Clearly Decreasing’ Ebit, Ebitda for 2016
• Microgen 1H Adj. Operating Profit, Revenue Rise
• Givaudan First Half Profit Beats Estimates on Fragrance Demand
• Kion Keeps 2016 Outlook, 2Q Revenues Increase by 7%
• Reliance Industries Gains After 1Q Net Rises 19% Y/y
• RFM Says 1H Net Rose 8% Y/y; El Niño Boosted Ice Cream Sales

• Financial News
• Emirates NBD Second-Quarter Profit Rises 16%, Beats Estimates
• Barclays CEO Says EU Barriers Unlikely for U.K. Banks After Brexit
• Bankinter CEO Tells Cinco Spain Bank Restructuring Is Complete

• Credit Rating News
• S&PGR Rates Glenmark Pharmaceuticals ’BB’; Otlk Stable
• Fitch Assigns First-Time ’BB’ Rating to Glenmark Pharmaceuticals

• Other News
• Sberbank Offers Free Insurance Policies to Pokemon Go Players
• Singapore Bondholders Brace for Defaults as Easier Terms Sought
• China Funds Running From Company Defaults Bet Big on Bank Debt

ANALYST VIEWS

• Fears about auto lending are on the rise again, most recently stoked by the Office of the Comptroller of the Currency’s (OCC) recent semi-annual risk report highlighting autos as one of its main credit concerns: CreditSights
• We hope for and need buoyant primary. It keeps investors interested and sometimes excited. (But) no one last pre- summer hurrah here it seems: creditmarketdaily.com

NEW ISSUES

• Deutsche Hypo EU250m 0.25% 2/2023 Covered Tap MS -7
• KfW GBP500m 1.375% 2/2021 Tap UKT +23
• 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.