HONG KONG, April 10 (IFR) - Asian credits were stable on
Monday in relatively quiet trade despite increased geopolitical
The iTraxx Asia investment-grade index was indicated at
94bp/96bp, less than 1bp tighter from Friday.
"The US missile strike against Syria and Friday's mixed US
March non-farm payroll report seem had little effect on the
markets," a Hong Kong-based trader said.
The trader said that Sinopec's four-tranche notes, priced
last Wednesday, were actively traded today with the 10-year
tranche trading 1bp tighter while other tranches were largely
China Jinmao's 3.60% 2022s bonds traded 2bp tighter. The
Chinese real estate firm said this morning its property contract
sales in March increased by 140% year on year to Rmb5.52bn
Bank of China's bonds were stable after the Chinese lender
announced plans to launch a multi-tranche, multi-currency Reg S
senior bonds offering in the near term.
In high yield, Yanzhou Coal Mining's 5.75% US dollar
perpetual rose a further 0.1 points to 101.75 while Regal
Hotels' 6.50% US dollar perpetual was stable at 99.375,
according to the trader.
Meanwhile, Road King's 7.95% US dollar perpetual fell 0.125
points to 104.5 on news of its expressway assets spin-off plans.
The Hong Kong-listed company has businesses in property
development and expressway operations in China.
"The group's perpetual bonds have a fixed-for-life
structure. In the absence of stability of the toll-road
business, we view the perpetual bonds as less attractive than
previously," MUFG said.
(Reporting by Carol Chan; Editing by Vincent Baby)