Ratings
BBH: EM FX Model for 2Q 2017
Soft US data and delays to fiscal stimulus plans from the Trump administration has led to a rethink of Fed tightening expectations, while lover commodity prices continued to drive down EM currencies through much of the second quarter. Here is BBH’s’ quarterly update on foreign exchange dynamics in emerging markets.
16 Jun 2017
Rating Agencies: Credit Where Credit’s Due
The 2008 subprime mortgage crisis in the US, and the aftershocks sent through global markets for years on, exposed weakness in the banking sector, the capital markets, and the financial system as a whole. Credit rating agencies were not the prime target for blame at the time, but gradually, their role in the crisis has emerged. Ten years on, Bonds & Loans explores some of the failures in the…
14 Jun 2017
Middle East Credit Markets Brief: May 25 - June 8
GCC states break diplomatic and economic ties with Qatar – Syndicated loans in GCC at 4-year low – Saudi Aramco issues SAR285mn sukuk – NCB issues SAR1.3bn sukuk – ADWEA closes US$872mn funding package – Dana Gas prepares US$700mn sukuk – Qatar Airways secures US$300mn in mezzanine debt – Al Baraka issues maiden US$400mn sukuk – KNPC signs US$6.25bn international loan – Foreign investment in…
8 Jun 2017
Latin America Credit Markets Brief: May 26 – June 8
PRI scores a narrow victory in Mexico’s largest state – Brazil: JBS SA has the wind taken out of its sails – Argentina strikes new agreement with credit holdouts – Colombia’s Davivienda reveals big borrowing plans – Chile’s Codelco preps bond issuance – Peru, IFC mull US$2bn green bond issuance – Ecuador hits the international market – Venezuela moves to restructure debt with Russia – Uruguay…
8 Jun 2017
Investors to Central America: Sometimes Growth is not Enough
Even if Central America’s countries have been leading the way on the growth front in Latin America, they are still far less attractive for investors compared to the region’s South American peers. Reforms will help change that.
23 May 2017
Private Placements: an Emerging Latam Trend
Latin American corporates are reaping the benefits of private placements, as yield-starved investors are drawn to region's shores.
18 May 2017
Africa Credit Markets Brief
AfDB calls for investment across Africa to close annual US$162bn funding gap – Kenya borrows US$1bn via syndicated loan – Nigeria raises mere NGN100bn in bond sale – Nigeria looking to secure US$5.2bn World Back funding package – Zimbabwe warns South Africa over proposed land reform – Russia’s Rosatom committed to nuclear plant project in South Africa – Senegal issues Eurobond – Saudi Aramco…
17 May 2017
Middle East Credit Markets Brief
Saudi Arabia loses market share in the oil sector – Saudi Electricity Co. in talks over sukuk – ACWA makes landmark 22-year trade – Etihad bonds drop on Alitalia news – UAE bankruptcy laws to improve operating environment – Dana Gas in debt restructuring talks – ADCB plans new issue – QNB hits the market, plans to make inroads in KSA – Bahrain feels FX strain – Oman in US$3.6bn loan talks – OETC…
12 May 2017
Rising Commodity Prices Give Emerging Markets Much Needed Boost
We believe the Fed is on track to hike at least three times this year. Yet EM currencies were mostly firmer in Q1, despite Fed tightening typically being very disruptive to EM. Why? The US dollar lost some traction as markets pushed out Fed tightening beyond March and Treasury Secretary Mnuchin seemed to push out fiscal stimulus into 2018. Rising commodity prices also helped buoy EM.
10 Apr 2017
The Cape Town Shuffle: Rand Plummets as Zuma Sacks Chief Treasurer
The sacking of South Africa’s finance minister and his cabinet prompted another all-too-familiar slide in the rand and bond prices. As his successor takes office, the markets are tentatively awaiting signs about the direction of economic policy.
5 Apr 2017