Deals
What to Watch in European Credit Markets This Week
- Corporate borrowers shut up shop ahead of the holiday period
- Flow of M&A announcements give investors plenty to consider
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Good morning. Here’s what we’re watching this week:
The primary market -- probably the easiest way that investors can get their hands on corporate bonds -- has shut up shop. That’s no surprise: it’s the end of the year and investors have been asking for such hefty premiums it was repricing lots of other debt. Looking into 2019 it’s not obvious that conditions are going to change. One syndicate manager says borrowers must accept that spreads are “not returning to early 2018 levels”.