Fed statement supports EM; BankMuscat, Vakifbank trade higher; Dominicana, Boubyan on deck

By Christine Van Dusen

Atlanta, April 27 – Trading of emerging markets assets was somewhat slow on Wednesday morning, then picked up a bit after the Federal Reserve released its statement, which suggested a slight possibility of a rate hike in June.

“Global financial assets cheer an expectedly dovish Fed as EM credit spreads tighten and cash prices jump,” a trader said.

The new notes from Oman’s BankMuscat performed well in trading on Wednesday, a trader said.

The lender priced $500 million 3¾% notes due 2021 at 99.311 to yield mid-swaps plus 260 bps, matching talk.

The issue closed the European session at 99.70 bid, 99.80 offered, he said.

In other trading, the new issue of notes from Istanbul’s Turkiye Vakiflar Bankasi TAO (Vakifbank) – €500 million 2 3/8% notes due 2021 that priced at 99.059 to yield mid-swaps plus 250 bps – traded at 100.05 bid, 100.20 offered, a trader said.

In deal-related news, whispers circulated about Tunisia, which had been expected to hold a roadshow last week for an offering of euro-denominated notes but postponed. The sovereign could issue up to $500 million of bonds in the next few weeks, sources said.

Kuwait’s Boubyan Bank KSCP will set out on May 1 for a roadshow to market a dollar-denominated issue of perpetual Islamic bonds, a market source said.

© 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.