Market sentiment improved post CPI data
On Thursday (9/14) in the Asian primary bond market, Korea Southern Power and Bangkok Bank issued fixed-rate US dollar bonds. US bond yields declined overnight following the release of CPI data, the market expected the Fed to pause interest rate hikes next week. In the secondary market, risk sentiment improved, and credit spreads for Asia IG narrowed by about 1-3 bps. Trading in Southeast Asian government bonds was relatively active.
Key news
• The People’s Bank of China announced that it will reduce the reserve requirement ratio (RRR) for financial institutions by 0.25% since September 15, 2023 (excluding financial institutions with a 5% reserve requirement ratio already in effect). After this adjustment, the weighted average reserve requirement ratio for financial institutions is around 7.4%. This is the second reduction of RRR this year.
Primary market
Korea Southern Power issued 3-year US dollar-denominated fixed-rate bond
• Issuer Ratings: Moody’s: Aa2 (Stable) / Fitch: AA- (Stable)
• Initial Price Guidance: CT3+130 basis points area
Bangkok Bank issued 5-year and 10-year US dollar-denominated fixed-rate bonds
• Issuer Ratings: Moody’s: Moody’s: Baa1 (Stable) / S&P: BBB+ (Stable)
• 5-year Initial Price Guidance: T+135 basis points area
• 10-year Initial Price Guidance: T+165 basis points area
Secondary Market
Trading in Southeast Asian government bonds was relatively active, with INDON outperforming PHILIP
• INDON 2033 was priced around 97.5 with a yield of about 5.2%, while 2053 was priced around 100 with a yield of about 5.65%.
• PHILIP 2033 was priced around 99 with a yield of about 5.13%, while 2048 was priced around 98.5 with a yield of about 5.61%.
CPI公布後，市場情緒轉佳
週四（9/14）亞洲債券初級市場有韓國南部電力與曼谷銀行發行固定利率美元債券。次級市場方面，受前晚CPI數據公布後美債利率走低影響，市場預期下週聯準會將暫停升息，風險情緒轉佳，亞洲地區投資等級信用利差收窄約1~3bps，東南亞地區公債交易相對熱絡。
重要新聞
• 中國人民銀行表示，將於2023年9月15日調降金融機構存款準備金率0.25個百分點（不含已執行5%存款準備金率的金融機構）；經過這次調降後，金融機構加權平均存款準備金率約為7.4%。為今年以來第2次調降金融機構存款準備金率。
初級市場
韓國南部電力發行3年期美元計價固定利率債券
• 發行人信評：Moody’s: Aa2 (Stable) / Fitch: AA- (Stable)
• 初始價格指引：ＣT3+130bps area
曼谷銀行發行5年期、10年期美元計價固定利率債券
• 發行人信評：Moody’s: Baa1 (Stable) / S&P: BBB+ (Stable)
• 5年期初始價格指引：T+135bps area
• 10年期初始價格指引：T+165bps area
次級市場
東南亞地區公債交易相對活絡，其中印尼價格漲幅優於菲律賓。
• 印尼2033年券價格約97.5、收益率約5.2%，2053年券價格約100、收益率約5.65%。
• 菲律賓2033年券價格約99、收益率約5.13%，2048年券價格約98.5、收益率約5.61%。