KfW

Banco Espírito Santo reported a €3.6bn loss this week, but the Portuguese soveriegn looks safe from contagion. Its $4.5bn October 2024 from four weeks ago has tightened versus swaps since pricing.

KfW’s first green bond, which was priced on Tuesday, was trading around 3bp tighter in secondary by Wednesday, SSA Markets understands, through the issuer’s vanilla curve.

KfW entered the green bond market on Tuesday with a five year benchmark that — due to its size and liquidity — could prove important for working out where issuers’ green curves should price versus their normal curves as SRI capital markets mature.

KfW has hired a trio of banks to run a five year euro denominated green bond, where proceeds will be invested in green energy projects, after meeting investors on a roadshow last week.

KfW is to begin issuing green bonds, with the first deal to come soon via Crédit Agricole, Deutsche Bank and SEB. Regular issuance of large bonds is planned.

KfW has decided to begin issuing green bonds “to get the topic out of a niche and into the broader capital markets”, a funding executive at the bank said today.

This week's scorecard focuses on Europe's major supranationals and agencies, with most of the borrowers well advanced in their funding programmes as issuance begins to slow down for the summer.

Read on to see how selected benchmarks are faring in secondary. Trading levels given are bid-side spreads versus mid-swaps and/or an underlying benchmark as of Thursday's close. The source for secondary trading levels is Interactive Data.

Read on to see how selected benchmarks are faring in secondary. Trading levels given are bid-side spreads versus mid-swaps and/or an underlying benchmark as of Thursday's close. The source for secondary trading levels is Interactive Data.

Read this week's funding scorecard to see which borrowers are approaching the 75% mark in their funding for the year.

Read on to see how selected benchmarks are faring in secondary. Trading levels given are bid-side spreads versus mid-swaps and/or an underlying benchmark as of Thursday's close. The source for secondary trading levels is Interactive Data.

KfW took to the long end of the curve with a euro print on Tuesday, drawing strong demand for 10 year bonds. Some bankers were surprised not to see a €5bn print from the issuer, but were complimentary of KfW’s ability to print a tricky maturity with little or no new issue premium.