Issuance from Vakifbank; trading slows down ahead of Fed meeting; Poland’s BGK preps deal

By Christine Van Dusen

Atlanta, April 25 – Turkey’s Turkiye Vakiflar Bankasi TAO (Vakifbank) was among the issuers to sell new notes on a quieter Tuesday that saw emerging markets investors awaiting the outcome of the Federal Reserve’s meeting.

“With a lack of economic events and little news flow outside of Saudi Arabia, [emerging markets] investors yesterday had a busy day in primary markets instead,” a trader said. “Looking ahead today, the Fed will gather for its two-day monetary policy meeting.”

From Latin America, inquiry and volumes picked up as Tuesday went on – but not markedly, a New York-based trader said.

“Seems like the breadth of credits being traded is pretty thin,” he said. “The credits that are trading more frequently comprise only a handful.”

In that handful were names like Brazil-based Gerdau SA and Colombia’s Ecopetrol SA.

Brazil-based Vale SA “is quiet, and close to unchanged,” he said.

Even the Mexico-based Sigma Alimentos SA de CV’s new $1 billion 4¼% notes due May 2, 2026 that priced Monday at 99.797 to yield Treasuries plus 225 basis points were “pretty quiet,” he said.

“Once again, overall, we remain pretty firm,” he said. “Some areas are drifting lower, like Mexican banks.”

But there was no heavy selling, he said.

In deal-related news, Poland’s Bank Gospodarstwa Krajowego (BGK) on Tuesday concluded a roadshow for a debut issue of euro-denominated notes, a market source said.

© 2015 Prospect News.
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