Frailer Demand for Lebanese Eurobonds on Tuesday
Following Monday’s clam activity on the Lebanese Eurobonds market, appetite for Lebanese sovereign debt dominated in foreign currency was poor yesterday. Accordingly, the BLOM Bond Index (BBI) declined by 0.22% to 105.33 points, broadening its year-to-date loss to 1.99%. Yields on the 5Y and 10Y Lebanese Eurobonds increased by 6 basis points (bps) and 3 bps to 5.88% and 6.40%, respectively. As demand for medium-term US notes improved on Tuesday, the spread between the 5Y Lebanese notes and their U.S. counterpart widened by 11 basis points (bps) to 451 bps. As for the Lebanese 5Y Credit Default Swaps (CDS), they slightly drifted from a previous quote of 403-428 bps to 403-426 bps.
| Last | Previous | Change | Y-t-D Change | ||
| BBI | 105.331 | 105.561 | -0.22% | –1.99% | |
| Weighted Yield | 5.82% | 5.78% | 4 | bps | |
| Duration (Years) | 4.95 | 4.95 | |||
| 5Y Bond Yield | 5.88% | 5.82% | 6 | bps | |
| 5Y Spread* | 451 | 440 | 11 | bps | |
| 10Y Bond Yield | 6.40% | 6.37% | 3 | bps | |
| 10Y Spread* | 435 | 427 | 8 | bps | |
*Between Lebanese and U.S notes
| Price | Yield | Yield Change (in bps) | |
| Nov. 2016 | 100.57 | 4.21% | 1 |
| Mar. 2017 | 106 | 4.74% | -1 |
| Oct. 2017 | 100 | 5.00% | 7 |
| Jun. 2018 | 100 | 5.15% | 0 |
| Nov. 2018 | 100 | 5.15% | -9 |
| Apr. 2019 | 100.5 | 5.34% | 8 |
| May. 2019 | 101.75 | 5.46% | 15 |
| Nov.2019 | 99.5 | 5.58% | 7 |
| Mar. 2020 | 102.75 | 5.67% | 6 |
| Apr. 2020 | 100.25 | 5.74% | 10 |
| Apr. 2021 | 110.5 | 5.99% | 8 |
| Oct. 2022 | 100 | 6.10% | 7 |
| Jan. 2023 | 99.25 | 6.13% | 4 |
| Dec. 2024 | 104.75 | 6.31% | 7 |
| Feb. 2025 | 99.13 | 6.32% | 4 |
| Jun. 2025 | 99.13 | 6.37% | 4 |
| Nov. 2026 | 100.38 | 6.55% | 2 |
| Nov. 2027 | 101.25 | 6.60% | 2 |
| Feb. 2030 | 99.13 | 6.74% | 4 |
