Swaps - BASIS SWAPS
A lack of issuance and a hawkish Fed saw trading focus on 1y-5y Elsewhere, a herd of Canadians has failed to attract imitators and ESMA likes ESTR.
The euro long-end is steeper amid supply while ASW flows are mixed. Minutes from ESMA RFR WG meetings reveal mixed views on EURIBOR XCCY.
Among the issuers working on new euro deals are Canada's CPPIB, Societe Generale and Thames Water.
Friday sees a pause in the torrent of euro new issues after a week that included the largest covered bond since 2006, a 5y from Bank of Montreal
A preponderance of basis-swappable GBP new issuance has added to a degree of stasis in the EUR/USD basis. RFRs are going OK. But not great.
Austria and Greece are the latest sovereigns to launch new syndications.
Another day, another session in the basis swaps market dominated by USD issuance by non-US borrowers but extremely well-supported by GBP supply.
European fixed income is weaker and euro traders discuss recent 5y interest, hefty supply and lingering 3s6s bids.
Another busy Monday sessions sees several financials working on new euro deals.
SSA issuers discuss the current sweet spot for short dated sterling deals with BNG and AIIB the latest names to print.