Lebanese Eurobonds Market Still Upbeat after the Successful $3B Issue

The BLOM Bond Index (BBI) pursued its upturn as it added a weekly 0.55% to 106.05 points. It was also able to beat the JP Morgan Emerging Markets’ Bond Index which registered a weekly rise of 0.41% to 770.2 points.

Demand for Lebanese Eurobonds maturing in 5 and 10 years significantly increased, going from last week’s 5.43% and 6.73% to 5.28% and 6.54% this week, respectively.

With easing expectations of an interest rate hike in the US, demand for the US Treasuries maturing in 5 and 10 Years showed no major variation as they respectively ended the week at 1.96% and 2.42% compared to last week’s 1.95% and 2.41%.  

The 5 year and 10 year spread between the Lebanese Eurobonds’ yields and the US treasuries shrank by 16 basis points (bps) and 20 bps to stand at 332 bps and 412 bps, respectively.

5 Year Credit Default Swaps, Mid-Prices (in basis points)

  30/03/2017 23/03/2017
Lebanon 415 434
KSA 100 101
Dubai 113 124
Brazil 228 241
Turkey 238 237

 

Prices Weekly Yields Weekly
Maturity Coupon in % 30/03/2017 23/03/2017 Change 30/03/2017 23/03/2017 Change bps
12/06/2018 5.15 101.25 101.13 0.12% 4.07% 4.19% -12
12/11/2018 5.15 101.38 101.25 0.13% 4.26% 4.35% -9
23/04/2019 5.5 101.65 101.5 0.15% 4.66% 4.74% -8
20/05/2019 6 102.65 102.5 0.15% 4.69% 4.77% -8
28/11/2019 5.45 101.75 101.25 0.49% 4.74% 4.95% -20
09/03/2020 6.375 104 103.63 0.36% 4.90% 5.04% -14
14/04/2020 5.8 102.25 101.75 0.49% 5.00% 5.18% -18
19/06/2020 6.15 103 102.63 0.36% 5.13% 5.26% -13
12/04/2021 8.25 110.63 110.5 0.12% 5.29% 5.34% -5
04/10/2022 6.1 102.25 101.75 0.49% 5.62% 5.73% -11
27/01/2023 6 101.38 100.88 0.50% 5.72% 5.82% -10
22/04/2024 6.65 102.5 101.88 0.61% 6.22% 6.32% -11
04/11/2024 6.25 99.88 99.38 0.50% 6.28% 6.37% -8
03/12/2024 7.00 104.13 103.5 0.61% 6.34% 6.44% -10
26/02/2025 6.20 99.13 98.25 0.90% 6.35% 6.49% -14
12/06/2025 6.25 99.25 98.13 1.14% 6.37% 6.55% -18
28/11/2026 6.60 100.88 99.25 1.64% 6.48% 6.71% -23
29/11/2027 6.75 100.75 99.5 1.26% 6.66% 6.82% -17
03/11/2028 6.65 99.25 98.38 0.88% 6.76% 6.87% -11
26/02/2030 6.65 98.75 98.25 0.51% 6.80% 6.86% -6
22/04/2031 7.00 100 99.88 0.12% 7.02% 7.04% -1
02/11/2035 7.05 99 99.25 -0.25% 7.16% 7.13% 2

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