Euro

More than €10.5bn of orders placed for quartet of covered deals on Thursday

Investors flush with cash and happy to chase trades through fair value

◆ Huge book for infrequent Austrian issuer ◆ ‘Capitulation trades’ in higher beta tier two drives spreads down

Investors hungry for exposure to long end of curve are finally fed

◆ More upside potential seen in the Virgin Money credit after Nationwide bid ◆ Deal is 10 times covered after already some 70bp tightening and another 50bp during execution ◆ Some estimates put NIP at close to 20bp when many recent deals are coming close to FV

Infrequent issuer's less liquid curve makes judging fair value tricky

Almost €5bn in euros alone on another wild Wednesday

German sub-sovereign again proves that it 'owns the long end' in euros

◆ Unsecured deals lined up after sentiment-boosting CPI ◆ Virgin Money to test demand for its now much tighter credit after Nationwide's £2.9bn bid ◆ Volksbank Wien out to capture favourable window for infrequent issuers' capital

Supra only needs to raise €6bn in 2024 and offered 'a unique buying opportunity' this week

Non-eurozone deals are attracting big books and tight pricing

◆ Bid for periphery bank bonds stays strong ◆ Priced at, or inside, fair value ◆ Debate over whether good times will continue