Mixed Demand for Lebanese Eurobonds on Tuesday

Even though demand for Lebanese Eurobonds progressed on Tuesday, the Lebanese Eurobonds market posted negative performance on weakening appetite for long-term notes. Accordingly, the BLOM Bond Index (BBI) declined yesterday by 0.02% to settle at 105.70 points, thus broadening its year-to-date loss to 1.65%. Yield on the 10Y Lebanese Eurobonds augmented by 1 basis point (bp) to 6.36% while that of the 5Y notes dropped by 5 bps to 5.78%. Demand for medium-term US notes strengthened on Tuesday, faster than that of its Lebanese counterpart, causing the spread between both maturities to widen by 2 bps to 434 bps. As for the Lebanese 5Y Credit Default Swaps (CDS), they stood at 393-415 bps compared to their previous quote of 390-415.

LastPrevious ChangeY-t-D Change
Weighted Yield5.74%5.74%0 bps
Duration (Years)4.974.97
5Y Bond Yield5.78%5.83%-5bps
5Y Spread*4344322bps
10Y Bond Yield6.36%6.35%1bps
10Y Spread*4224157bps

*Between Lebanese and U.S notes

 PriceYield Yield Change (in bps)
Nov. 2016100.584.21%0
Mar. 2017106.254.62%-1
Oct. 2017100.384.80%0
Jun. 2018100.385.00%0
Nov. 2018100.135.10%0
Apr. 2019100.755.27%0
May. 2019102.255.31%0
Mar. 2020103.135.57%0
Apr. 2020100.755.61%0
Apr. 20211115.90%-2
Oct. 2022100.386.03%2
Jan. 202399.636.06%0
Dec. 2024105.256.24%0
Feb. 202599.386.29%2
Jun. 202599.386.33%2
Nov. 2026100.756.50%0
Nov. 2027101.56.57%0
Feb. 203099.56.70%3








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