ASL Marine issues as risk aversion takes hold; Lat-Am corporates widen, sovereigns tighten

By Christine Van Dusen

Atlanta, Sept. 24 – Singapore’s ASL Marine Holdings Ltd. sold notes on Wednesday as risk sentiment in Europe deteriorated on weaker economic data from Germany.

Bonds from Ukraine have been selling off so far this week, even as the conflict with pro-Russian rebels seems to be de-escalating, said Svitlana Rusakova of Dragon Capital.

There is concern that the sovereign will restructure, she said.

“Most bonds are now back to their year-to-date lows, though quasi-sovereigns are holding better than the sovereigns, possibly owing to their lower cash price,” she said.

From Latin America, corporate bonds took a bit of a beating by day’s end, with Petroleo Brasileiro SA (Petrobras) leading the way down, a New York-based trader said.

The company’s bonds have moved out 20 basis points since Sept. 15, he said.

Brazil-based Vale SA also opened wider during the morning, but tightened amid some buying before widening again by day’s end, he said.

Latin American sovereign bonds, meanwhile, tightened, he said.

Elsewhere in the emerging markets universe, liquidity was limited, a trader said.

In other news, Indonesia is expected to raise fuel prices in November, which would “reduce the nation’s subsidy and improve its fiscal health,” according to a report from Barclays.

Also on Wednesday, price guidance was released by Poland’s Synthos SA, China’s Bank of Communications and Brazil’s Cimento Tupi SA. And Singapore’s TEE Land Ltd. announced plans for issuance in Singapore dollars.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.