The Lebanese Eurobonds Market Remained Relatively Stable on Wednesday

Demand for Lebanese Eurobonds slightly retreated on Wednesday as the BLOM Bond Index (BBI) ticked down by 0.01% to 103.37 points.  

The yield on the 5Y Lebanese Eurobonds stabilized at 6.37% while that of the 10Y Lebanese Eurobonds lost 1 basis point (bp) to 6.80%. In the U.S., demand for 5 Year US treasury notes increased as their yield went down from 1.23% to 1.21% yesterday, causing the spread between the 5Y yield on the Lebanese Eurobonds and that of the US treasury notes to broaden by 2 bps to 516 bps.

Lebanon’s 5Y Credit Default Swaps (CDS) also widened from their previous bid-ask range of 459-479 bps to 462-482 bps.