Mixed Demand for Lebanese Eurobonds on Wednesday
The improving appetite for long term Lebanese Eurobonds yesterday was offset by a dropping demand for short term maturities. Thus, the BLOM Bond Index (BBI) barely changed and a posted a marginal 0.01% slip to 105.68 points. Yield on the 5Y Lebanese Eurobonds increased by 3 basis points (bps) to 5.64% while the yield on the 10Y maturities dropped by 5 basis points (bps) to reach 6.47%. Even though demand for U.S. notes fell slightly, the 5Y spread between Lebanese Eurobonds and their US counterpart broadened by 2 bps to 415 bps. The Lebanese 5Y Credit Default Swaps (CDS) tightened from their previous quotes of 388-415 bps to 380-405 bps.
| Last | Previous | Change | Y-t-D Change | ||
| BBI | 105.676 | 105.687 | -0.01% | -1.67% | |
| Weighted Yield | 5.76% | 5.72% | 4 | bps | |
| Duration (Years) | 5.03 | 5.00 | |||
| 5Y Bond Yield | 5.64% | 5.61% | 3 | bps | |
| 5Y Spread* | 415 | 413 | 2 | bps | |
| 10Y Bond Yield | 6.47% | 6.52% | -5 | bps | |
| 10Y Spread* | 429 | 440 | -11 | bps | |
*Between Lebanese and U.S notes
| Price | Yield | Yield Change (in bps) | |
| Nov. 2016 | 100.79 | 4.05% | 0 |
| Mar. 2017 | 106.38 | 4.72% | 31 |
| Oct. 2017 | 100.38 | 4.81% | 26 |
| Jun. 2018 | 100.75 | 4.86% | 15 |
| Nov. 2018 | 100.5 | 4.98% | 13 |
| Apr. 2019 | 100.5 | 5.35% | -8 |
| Mar. 2020 | 102.75 | 5.68% | 0 |
| Apr. 2020 | 100.5 | 5.67% | 0 |
| Apr. 2021 | 110.75 | 5.97% | 0 |
| Oct. 2022 | 100.38 | 6.03% | -2 |
| Jan. 2023 | 99.63 | 6.06% | -2 |
| Dec. 2024 | 105.5 | 6.21% | -3 |
| Feb. 2025 | 99.5 | 6.27% | 4 |
| Nov. 2026 | 100.5 | 6.53% | -6 |
| Nov. 2027 | 101.25 | 6.60% | –6 |
| Feb. 2030 | 100 | 6.65% | 0 |
