EM ASIA CREDIT: Q1 Results: China Vanke (Caa2/B-/CCC+) liquidity remains key.
Apr-30 00:12
"*CHINA VANKE 1Q NET LOSS 6.25B YUAN VS. LOSS 362M YUAN Y/Y" - BBG * China Vanke has reported Q1 re...
Want to read more?
Find more articles and bullets on these widgets:
Historical bullets
AUSSIE BONDS: Solid Absorption of May-28 Supply With More Demand Present
Mar-31 00:11
The latest round of ACGB May-28 supply sees the weighted average yield print 1.15bps through prevailing mids (per Yieldbroker), extending the recent trend of firm pricing at ACGB auctions.
- Moreover, the cover ratio jumped to a robust 4.4250x from 3.5400x at the previous outing.
- As highlighted in the preview, the outright yield was 15-20bps higher than the previous but around 55bps lower than the cycle peak in early November last year.
- Additionally, market expectations for RBA easing in 2025 have become more aggressive ahead of tomorrow’s RBA Policy Decision. While a 25bp rate cut in April is given only a 5% probability, a cumulative 70bps of easing is priced by year-end.
- Also on the positive side, it's important to note that the May-28 bond was included in the YM basket and that sentiment towards global bonds has improved recently.
- There has been no notable movement in the cash line in post-supply dealings.
AUSSIE BONDS: ACGB May-28 Auction Results
Mar-31 00:03
The Australian Office of Financial Management (AOFM) sells A$600mn of the 2.25% 21 May 2028, issue #TB149:
- Average Yield (%): 3.6498 (prev. 3.5038)
- High Yield (%): 3.6525 (prev. 3.5050)
- Bid/Cover: 4.4250x (prev. 3.5400x)
- The amount allotted at the highest accepted yield as a percentage of the amount bid at that yield (%): 72.4 (prev. 96.4)
- Bidders 37 (prev. 32), successful 11 (prev. 12), allocated in full 7 (prev. 7)
GOLD: New Highs in Place as Market Readies for Tariffs.
Mar-30 23:55
- Gold begins another week with new highs in place, though for the first time in a while, the pace may be coming out of this rally.
- A steadily falling call skew on gold ETF’s, with investors paying the smallest premium in over a year, shows that the bullish exuberance that the gold market has enjoyed could be running out of steam.
- Gold touched new highs last week and has opened up strongly touching a new high again in Asia trading this morning at US$3,088.80.
- As we approach the deadline for tariffs, the markets will remain cautious, providing a good back drop for gold demand in the early part of the week.
