Federal Reserve Bank of Richmond President Thomas Barkin on Tuesday said surging home prices are being driven by a jump in demand and constrained supply but not by excess leverage, reducing the potential risk to the broad financial system should prices fall.
By Reuters Staff Euro zone periphery govt bond yields tmsnrt.rs/2ii2Bqr
LONDON, May 25 (Reuters) - A lessening of inflation fears saw euro zone government bond yields edge down for the third day in a row on Tuesday, as the market continued to calm down from last week’s sell-off.
Last week, Germany’s 10-year Bund yield rose to two-year highs, while Italian yields rose to their highest since September, as investors bet stronger economic growth could prompt the European Central Bank to slow the pace of its emergency bond purchases soon.
But yields started falling on Friday when ECB President Christine Lagarde said it was still too early for the ECB to discuss tapering the stimulus.
By Reuters Staff
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MILAN, May 25 (Reuters) - Intesa Sanpaolo on Monday issued a dual tranche TIER2 dollar-denominated bond for $1.5 billion, the Italian lender said in a statement on Tuesday, returning to the U.S. market after a two-year absence.
The bond, in two tranches of $750 million with maturities in 2032 and 2042, attracted orders worth more than $9 billion.
The yield on the 2032 paper was set at 260 basis points over the Treasury yield and at 275 basis points over the Treasury yield for the tranche due 2042.
Fund managers bought 78% of the issuance, while insurance companies and hedge funds took 5% each.
Barclays, Credit Suisse, Goldman Sachs, HSBC, JP Morgan, Morgan Stanley and Nomura were bookrunners for the issue, while Intesa Sanpaolo’s IMI CIB was financial advisor. (Reporting by Gianluca Semeraro, writing by Cristina Carlevaro; Editing by Kirsten Donovan)
By Reuters Staff
1 Min Read
DUBLIN, May 25 (Reuters) - Consolidation of the global aircraft leasing industry is likely to be accelerated by COVID-19, the head of one of the world’s five largest lessors, SMBC Aviation Capital, said in an interview on Tuesday.
“You were always going to see increasing levels of consolidation and. I believe it is likely that the events of the last 18 months are likely to probably accelerate that a bit,” Chief Executive Peter Barrett said.
Barrett, who estimated the leasing industry owns over 40% of the global passenger fleet, said that if any opportunities “present value and fit into our strategy, we’ll certainly have a look at them.” (Reporting by Conor Humphries, editing by Louise Heavens)
By Reuters Staff
1 Min Read
JAKARTA, May 25 (Reuters) - Indonesia is planning to issue U.S. dollar and Euro-denominated bonds but a decision on timing and size of the issuance will depend on market conditions, Finance Ministry senior official Luky Alfirman said on a call with investors on Tuesday.
Indonesia last week raised 100 billion yen from sale of Samurai bonds to help finance its budget deficit, including for coronavirus pandemic relief. (Reporting by Tabita Diela Writing by Fransiska Nangoy; Editing by Kirsten Donovan)