** EUR1.5bn of IG/HY paper printed in the single currency on Friday giving a weekly issuance total of EUR41.95bn from 41 seperate lines across all asset classes, a sharp increase from the EUR6.89bn which printed the week before. For the composition of this week's supply see IGM WEEKLY VOLUME REPORT
** A busy week for the IG/split rated corporates was rounded off by Amadeus which took EUR500m out of the short-end of the curve with a 2yr deal on Friday at m/s +17. That took the weekly total to EUR12.9bn from 13 deals representing the busiest week for the sector YTD. See IGM CORP SNAPSHOT for some analysis of the week's supply
** The only other benchmark supply on Friday came from Societe Generale via a EUR1bn senior non-preferred 7yr benchmark FRN. The deal was fixed at 3mE +80, from +90-95bp IPTs, equating to a final NIC of ca. 8bps. That propelled Euro FIG (ex-covered) supply to EUR11.4bn from 10 transactions for the week, also the busiest this year and the first double digit week for the asset class since April 2016. For the Soc Gen comps and a snapshot of all the week's FIG deals see IGM FIG SNAPSHOT
** Covereds drew a blank on Friday but nevertheless made a solid contribution to the overall weekly total with EUR5.25bn issued from 6 separate deals in the single currency, not quite the busiest week of the year but still the most active one since week ending 13th Jan. For an overview of this week's supply as well as historical charts and stats see IGM COVERED SNAPSHOT
** Inventor's keenness to add inventory is reflected in the latest data from EPFR Global for Euro-denominated IG bond funds which shows investor inflows continued for a sixteenth successive week, accelerating to an equivalent $1,810.14m in the week ending 10th May from $1,146.65m the previous week, the highest pace since August 2016. Fore more details of IG as well as High Yield fund flows see EPFR FUND FLOWS
IGM European Credit Weekly
** IGM European Weekly Credit Excel Spreadsheet is your comprehensive round-up of primary European new issue activity in Excel format, which allows users to conveniently download, save and edit the data as required. As well as new issue terms and conditions the spreadsheet incorporates additional data sets including distribution stats, book sizes, NICs and secondary market performance
IGM/EPFR Weekly Cheat Sheet in Excel
** IGM/EPFR Weekly Cheat Sheet provides proprietary intelligence on Euro primary market trends using various key data points in an easily digestible Excel spreadsheet. This includes Euro new issue volumes, average new issue concessions and book cover ratios across asset classes, as well as EPFR fund flow data and other key credit proxies
Friday's broader market developments
** EU risk assets traded mixed with stocks struggling to make much headway in either direction, while synthetic credit indices widened
** US data was mixed. April CPI MoM matched forecasts, Retail Sales missed at 0.4% MoM (exp 0.6%) although that was countered by an upward revision in March to 0.1% from -0.2%.
** Govvies - safe havens received a boost ahead of the German regional NRW election on Sunday (viewed as a proxy for the German central government election in Sep), pushing EGB yields broadly lower bar PGBs which bucked the trend. French curve marginally bull flattens
** iTraxx indices widen, pushing Crossover to its widest level this week
Market snapshot (14.48 BST)
SXXP 0.00% / SX7P -0.22%
GER 2yr -0.6bps at -0.685% / 10yr -2.5bps at 0.404%
Brent +0.33% at USD50.94
iTraxx Main +0.8 at 63.4 / Crossover +3.0 at 259.2
What to watch Monday
** Data: There are no top tier data releases out in Europe or US on Monday, but for the record Italy reports final EU Harmonised CPI and the US Empire Manufacturing and the NAHB Housing Market Index
** Events: None scheduled
** Supply: There are no significant term auctions scheduled in Europe or US on Monday 15th May
** Earnings: 7 Stoxx600 companies report
** Viewpoint: Fixed income week ahead
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