Bips & Pieces
Middle East Investor Appetite for Russian Bonds Grows with Latest Bank Deals
In January this year, Emirates NBD became the first Middle Eastern bank to participate with an international bond from Russia, but investors from the region have been increasing their exposure to Russian credits for some time.
4 Feb 2020
Lebanon to Pursue “Restructuring Without Restructuring”
While details of the government’s strategy to address the dire economic circumstances it faces are scant, analysts at Barclays believe Lebanon is likely to favour a bond swap with domestic banks over alternatives like issuing long-term FX certificates via the central bank, a move that could result in the sovereign entering Selective Default.
4 Feb 2020
Oil Price Volatility Provides Crucial Test for OPEC+
Oil prices continued to tumble during the first week of February as the coronavirus outbreak intensified, taking Brent Crude futures down nearly 12% year to date and sending OPEC+ scrambling to contain to counter the impact.
3 Feb 2020
Copper Prices Plummet Amid China Virus Fears
The “bellwether” of commodity markets is hitting 6-month lows amid demand-side risks emanating from China.
3 Feb 2020
AXA Sees Greater Investment Opportunities in EM Green Bonds – But ESG Still Needs Improvement
Emerging market green bond investment opportunities are looking increasingly attractive to global institutional investors – but EM issuers still need to continue improving on the ESG front in order to improve global investor penetration, AXA senior economist Irina Topa-Serry says.
3 Feb 2020
Growing Non-OPEC Supply Offsets Rising Demand – National Bank of Kuwait
As trade tensions between the US and China begin to cool – at least for now – oil demand is due to grow at a modest rate of 1.2 million barrels per day, up from a multi-year low of 1 million barrels per day in 2019.
31 Jan 2020
Growth of Brazilian Economy looks Set to Double 2019 Rate as Recovery Picks Up – BBVA
The Brazilian economy is on track to expand in the first quarter of 2020 with full-year growth expectations also improving, according to economists at BBVA.
31 Jan 2020
Kenya’s Real Estate Sector Not Heading for a Bubble – Cytonn Investments
Despite a boom in Kenya’s real estate sector in recent years the market is not currently in a bubble, argues a recent report from Cytonn Investments. A bubble is unlikely, the report argues, due to a lack of access to credit, without which unsustainable demand cannot be supported.
31 Jan 2020
Ailing SoEs Pose Systemic Fiscal Risk in Pockets of EM
A new analysis by the IIF indicates that struggling state-owned giants such as Pemex and Eskom remain vulnerable and pose risks to their respective countries’ sovereign credit outlook.
30 Jan 2020
BlackRock Fixed Income CIO: Fed’s Policy Statement “Abnormally Normal”
Rick Rieder, BlackRock’s Chief Investment Officer of Global Fixed Income says that while the Fed’s apparent commitment to continued easing and expansion is reassuring, they may look to rein in some of the ‘plentiful’ liquidity pumped into financial markets in recent years.
30 Jan 2020