Drop In Demand Pushed Eurobonds Down on Friday

The BLOM Bond Index (BBI), an indicator of the Lebanese Eurobonds Market, witnessed a downturn of 0.17% to settle at 106.45 points, on Friday. The yields on the 5Y and 10Y Lebanese Eurobonds augmented by 3 basis points (bps) and 4 bps to 5.32% and 6.17%, respectively. Even though the demand on medium-term US securities declined, the spread between the 5Y Lebanese Eurobonds and its US comparable broadened by 2 bps to 375 bps, as local demand on Eurobonds fell at a faster rate. In addition, Lebanon’s 5Y Credit Default Swaps (CDS) remained relatively stagnant going from 372-392 bps to 371-391 bps. 

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