MENA Daily Fixed Income Report - 14 April

Transcription

1. MENA Daily Fixed Income Report – 14 April 2020 Kuwait Financial Centre “Markaz” News Updates GCC Sovereign Yields Maturity Yield % Abu Dhabi 2027 2.63 Price ∆ (YTD %) -1.83 Abu Dhabi 2047 3.73 Bahrain 2024 Bahrain 2029 Bahrain Dubai Sovereigns Kuwait Sells 240 Million Dinars 91-day Bills; Bid-Cover 11.11 - Kuwait sold 240 million dinars ($771 million) of bills due Jul 14. Investors offered to buy 11.11 times the amount of securities sold. The bills have a yield of 1.25 percent and settled Apr 14. Kuwait Stock Exchange Delays Trading Debut on Coronavirus - The Kuwait Stock Exchange is delaying the listing of its shares due to restrictions on work triggered by the coronavirus pandemic. The listing, scheduled for April 19, has been postponed until further notice “due to exceptional circumstances that are imposed by the spread of the coronavirus pandemic,” the bourse said in a statement. Dubai Maturity Yield % KSA 2025 2.85 Price ∆ (YTD %) -2.83 -8.50 KSA 2029 3.19 -3.29 6.90 -11.73 KSA 2049 4.56 -10.95 7.47 -19.44 Oman 2025 7.84 -16.46 2047 7.91 -23.49 Oman 2029 10.00 -27.94 2023 4.10 -4.63 Oman 2048 10.01 -31.74 2029 4.86 Sovereigns -12.91 Qatar 2024 2.53 Fed Dials Back Frequency of Repo Actions After Market Stabilizes The Federal Reserve will dial back its support for the market for repurchase agreements following signs that the recent upheaval in dollar funding has eased. The move to reduce the amount of funding it offers through both overnight and term facilities from May 4 comes “in light of more stable repo market conditions,”. The tone in markets has improved, with repo rates in check and other benchmarks such as the London interbank offered rate returning to less stressed levels. China’s Trade Fell Less Than Expected Even as Virus Spread China’s trade performed better than expected in March, with both exports and imports declining less than expected even as the coronavirus prompted business shutdowns around the world. Exports declined 6.6% in dollar terms in March from a year earlier, while imports fell 0.9%, the customs administration said Tuesday. Economists had forecast that exports would decline by 13.9% while imports would shrink by 9.8%. The trade balance narrowed to $19.9 billion in the month. Moody’s S&P Abu Aa2 AA Dhabi Bahrain B2u B+ Aa2 AA- AA Ba2 BB- BB Qatar Aa3 AA- AA- -1.85 KSA A1 A-u A Aa2 NR NR B2 Kuwait 2022 1.72 -0.03 Qatar 2028 3.02 -4.08 Kuwait 2027 2.36 -0.72 Qatar 2049 3.93 -7.58 Egypt Source: Bloomberg Yield % 4.55 1D ∆ (%) 0.21 Duration (yrs) 7.50 S&P MENA Bond and Sukuk Index YTD ∆ (%) -6.89 NA 0.00 -4.22 Bloomberg Emerging Markets USD Index 6.90 6.58 0.43 -8.18 Bloomberg Global Aggregate Index 1.17 7.47 0.22 0.38 Interbank Rates (%) KIBOR SAIBOR BHIBOR QATAR AEIBOR EURIBOR LIBOR 3 Months 14/04/2020 31/12/2019 1.9375 2.7500 1.2286 2.2314 1.7500 2.2500 1.2863 2.2500 1.7121 2.2086 -0.2200 -0.3830 1.2189 1.9084 6 Months 14/04/2020 31/12/2019 2.1875 2.9375 1.2329 2.2557 2.1000 2.7000 1.3544 2.3500 1.5922 2.1914 -0.1790 -0.3240 1.2259 1.9121 USD Swap Rates 1-Year 2-Year 5-Year 7-Year 10-Year 30-Year Yield % 0.5938 0.4632 0.5894 0.7085 0.8373 1.0413 YTD ∆ (%) -66.5 -72.7 -65.9 -60.6 -55.8 -50.2 US Treasuries 2-Year 5-Year 10-Year 30-Year 12 Months 14/04/2020 31/12/2019 2.4375 3.1875 1.2314 2.3071 2.2833 2.8333 1.4724 2.5333 1.5128 2.2900 -0.0870 -0.2490 1.0509 1.9963 Currencies 1D ∆ (bps) -1.09 -0.20 0.37 -0.12 -0.53 -0.87 KWD SAR BHD QAR OMR AED USD 0.3122 3.7655 0.3780 3.6680 0.3852 3.6732 UK Guilts Yield % 0.25 0.46 0.77 1.40 1D ∆ (%) -0.01 -0.03 0.02 0.14 Yield % 0.01 0.11 0.30 0.65 1D ∆ (bps) 0.0739 0.0159 0.0662 -0.0409 -0.0234 0.0000 YTD ∆ (%) -2.61 -0.27 -0.14 -0.15 -0.03 0.00 German Bunds 1D ∆ (%) 0.18 0.38 0.95 3.07 Yield % -0.68 -0.61 -0.39 0.05 1D ∆ (%) 0.00 0.00 0.00 0.00 B B+ Lebanon Ca SD RD Turkey B1 B+u BB- Tunisia B2 NR B+ Morocco Ba1 BBBJordan B1 B+ BBBBB- China A1 A+ A+ UK Aa2 AA AA USA Aaa AA+u USD 5-Year CDS Abu Dhabi 126 Kuwait 110 Dubai 269 AAA YTD ∆ (%) 271 211 228 Bahrain 444 159 Qatar 132 281 KSA 152 181 Egypt 589 116 Lebanon N/A NA Turkey 534 90 Iraq 932 167 Morocco 180 108 China 40 36 France 35 107 Germany 22 178 Japan 34 86 UK 35 89 US 18 69 This report has been prepared and issued by Kuwait Financial Centre K.P.S.C. (Markaz) , which is regulated by the Capital Markets Authority and the Central Bank of Kuwait. The report is owned by Markaz and is privileged and proprietary and is subject to copyrights. Sale of any copies of this report is strictly prohibited. This report can not be116 published. A number of sources which include Bloomberg, Zawya, and daily newspapers were utilized in the creation of this report. AA BB- Oman UAE Index Name Bloomberg GCC FI Index Fitch Kuwait Bonds and Sukuk Indices NMC Health Administrators Replace Board, Names Four New Members - Administrators of NMC Health appointed a new board for the London-listed company to implement corporate governance changes, according to a statement. New non-executive directors: Eli Chahin, Christopher Hall, Myles Halley and Philip Gore-Randall. Previous board ceased to have decision-making powers Faisal Belhoul, Ayesha Mohammed, Jonathan Bomford, Patrick James Meade, Salma Ali Saif Bin Hareb and Tarek Alnabulsi removed from the board Sovereign Ratings