After basically shrugging off the lack of agreement at the OPEC meeting in Doha, the price of crude oil has hit new YTD highs in the past week, momentarily reaching $46/barrel.
The ECB published details last week on the forthcoming expansion of its QE programme to corporate bonds. The guidelines indicate a broad universe of eligible bonds but with some caveats. It is also worth noting that parent companies based in the Nordics (and the US) can issue eligible bonds through subsidiaries in the eurozone. Despite an announced large absolute purchase amount, we think the ECB-driven rally in spreads will soon be over but believe the market is still likely to be well bid going forward. See ECB CSPP: The devil is in the detail, from yesterday for more exciting details!
Reporting season has now really taken off and overall cyclical non-financials' earnings have generally beaten expectations. Handelsbanken was the first of the large Nordic banks to report and disappointed on earnings, see Handelsbanken: Q1 16 - Top line under pressure, 20 April.
The SEK HY market has officially 'reopened' with a couple of deals in recent weeks (D Carnegie & Co and Millicom) and a few more currently on screens. EUR primary markets saw another consecutive week of high activity.
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