Fixed Income Analysis /

Covered Bond & Agency Monitor - Easter period does not slow issuance (English version)

    Matthias Dax
    Matthias Dax

    Sub-Sovereigns & Agencies, ESG

    Julian Kreipl
    Florian Hillenbrand
    8 April 2021
    Published byUniCredit
    • Covered Bond Market Telegram: The usually calm Easter period did not keep CFF from collecting EUR 1.5bn for eight years this week – matching the largest deals in 2021 (DNBNO 0.01 Jan 31, CAFFIL 0.01 Mar 31).
    • SSA market telegram: Bond supply in the SSA primary market did not slow down this week in the usually calmer Easter period. In secondary markets, the iBoxx Sub-Sovereigns index tightened slightly on a weekly basis. The iBoxx Agencies index was the best performing iBoxx Sub-Sovereigns Level II index.
    • OSFI unwinds temporary increase to covered bond limit: According to a press release published Wednesday, the Office of the Superintendent of Financial Institutions (OSFI) announced the unwinding of the temporary increase to the covered bond limit, effective immediately.
    • EU funding in 2Q21: The European Union (EU) has raised EUR 75.5bn under its SURE program since implementation in 2020. Of this, EUR 36bn was raised in 1Q21. In the second quarter of the year, the EU plans to raise EUR 13-15bn under SURE and EUR 9.75bn under its European Financial Stabilization Mechanism (EFSM).