HONG KONG, May 24 (IFR) - Bonds were trading slightly wider on Tuesday, but syndicates said the week was shaping up to be the busiest of the year for primary markets.
The iTraxx Asia investment grade ex-Japan was spotted 1bp-2bp wider at 146.17/147.67.
Sovereign CDS was bid mostly tighter with Singapore CDS 3bp-4bp tighter and Korean CDS 2bp tighter.
Equity markets were also soft with China's main indices down close to 1.0%.
"It was a fairly contained session," said a Singapore-based investment grade bonds trader. "There were no dramatic moves, but the market is a bit softer. There is a lot to think about with US interest rates, but we're finally getting more supply."
Syndicate bankers said there could be as much as US$6bn-$8bn of new issues hitting the Asian credit market this week.
The day was punctuated by a US$1.25bn dual tranche bond from ANZ's New York branch, a US$600m deal from ICBC New York and a US$500m Green bond from Axis Bank.
Large offerings from HSBC, China Three Gorges and CCB Financial Leasing are also expected to price soon.
China Three Gorges' existing 2025 bonds were being bid about 3bp tighter at Treasuries plus 121bp, according to Tradeweb.
"It's a good week for us, and it's almost entirely because of the Fed," said a Hong Kong-based syndicate banker. "Definitely the busiest week of the year and we're not even half way through it yet."