Improving Demand for Lebanese Eurobonds on Wednesday
Demand for Lebanese Eurobonds augmented on Wednesday, as the BLOM Bond Index (BBI) recorded a 0.33% increase to 102.71 points. The yields on the 5Y and 10Y Lebanese Eurobonds dropped by 12 basis points (bps) and 4 bps to reach 6.50% and 6.90%, respectively. Demand for medium term US notes also improved, but at a much slower rate than its Lebanese equivalent, causing the 5Y spread between the two maturities to narrow by 10 bps to reach 507 bps. Lebanon’s 5Y Credit Default Swaps (CDS) merely increased from their previous quotes of 448-468 bps to 449-469 bps.