The BLOM Bond Index (BBI) registered a 0.15% drop over the past week to settle at 107.08 points. The BBI was outperformed by the JP Morgan Emerging Markets’ Bond Index which grew by a weekly 0.04% to 675.11 points.
The yields on the Lebanese Eurobonds maturing in 5Y and 10Y grew from last week’s 5.30% and 6.19% to reach 5.34% and 6.21%, respectively.
In the U.S, demand on 5Y notes slightly rose as their yield slid from 1.65% to 1.62% while demand for 10Y US treasuries steadied as shown by their unchanged yield at 2.28%.
Accordingly the spread between the yields on the 5Y Lebanese Eurobonds and their US comparable widened from last week’s 365 points to 372 basis points (bps) while the 10Y spread broadened from 391 bps to 393 bps.
Lebanon’s 5Y Credit Default Swaps (CDS) went from last week’s 355-380 bps to 353-381 bps. 5Y CDS quotes of Saudi Arabia widened from 57-62 bps to 62-67 bps, Turkey’s 5Y CDS broadened from 225-228 bps to 237-240 bps and the 5Y CDS of Dubai grew from 175-180 bps to 179-188 bps. Meanwhile, Brazil’s 5Y CDS narrowed from 290-293 bps to 285-288 bps.
| 30/07/2015 | 23/07/2015 | Change | Year to Date | ||
| BLOM Bond Index (BBI)* | 107.082 | 107.244 | -0.15% | 0.94% | |
| Weighted Yield** | 5.49% | 5.45% | 3 | 47 | |
| Weighted Spread*** | 384 | 378 | 6 | -46 |