CLP Power, Reliance tap market; Pacific Rubiales releases earnings; profit-takers emerge

By Christine Van Dusen

Atlanta, April 27 – China’s CLP Power Hong Kong Financing Ltd. and India’s Reliance Communications Ltd. priced notes on Monday as sellers emerged for recent issues from Asia on the back of the rally in U.S. Treasuries.

Still, most high-grade cash bonds from the region closed their session broadly unchanged, a London-based trader said.

“China oil and gas traded heavy in anticipation for a new Cnooc Ltd. jumbo deal, which we expect to come sometime this week,” he said.

From Latin America, Toronto-based and Colombia-focused Pacific Rubiales Energy Corp. released its first-quarter 2015 operational update, showing that prices are down but production is up, another trader said.

The results were unsurprising, and, in response, buyers were seeking the company’s 2019 and 2025 bonds on Monday, he said.

In other trading from Latin America, most of the volumes seen on Monday were focused on bonds from Brazil-based Petroleo Brasiliero SA and Vale SA, a New York-based trader said.

Petrobras’ bonds were about 5 bps tighter on Monday morning while Vale’s notes were about 10 bps tighter as iron ore prices moved back up to those seen in early March, he said.

But the two issuers were unable to hold on to their gains as profit-taking took hold and ended the day 5 bps to 10 bps wider than Friday’s close.

© 2015 Prospect News.
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