Primary hosts Abu Dhabi, Sigma Alimentos, BankMuscat, China Petroleum, Ziraat; slow buying

By Christine Van Dusen

Atlanta, April 25 – Abu Dhabi, Mexico’s Sigma Alimentos SA de CV, Oman’s BankMuscat, China Petroleum & Chemical Corp. (Sinopec) and Turkey-based Turkiye Cumhuriyeti Ziraat Bankasy AS (Ziraat Bank) printed notes on Monday ahead of this week’s meetings of the Federal Reserve and Bank of Japan.

“Huge book on Abu Dhabi the highlight of the day,” a trader said. “The issuer has very good technical and scarcity value, having not issued in seven years and being zero risk-weighted for local banks.

Though there is clearly a “new paradigm for oil credits,” he said, “this deal shows the market is still alive and still finding clearing levels.”

In trading, flows from the Middle East focused mostly on Abu Dhabi names and perpetual bonds, a trader said.

These next several weeks “should be better from a flow-trading point of view as the new issues will act like grease and oil to reinvigorate the market and curves and get more switches going,” he said. “And there will obviously be differing opinions on what is value and what is not value, which – for a flow trader – is what is needed, rather than everyone doing the same thing at the same time.”

Looking to Latin America, inquiries and volumes were low on Monday morning, with prices hovering near Friday’s close, a New York-based trader said.

© 2015 Prospect News.
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