Investors adapt to new climate

摘要

The distortion of Europe's primary bond market took a further twist last week with new milestones reached in both the SSA and corporate sectors as investors' red lines about what they are willing to buy continue to wash away. Finland set a new yield low with a €3bn five-year that priced at -0.73%. Europe's markets are overrun with bonds offering investors negative or no yield but even so, Finland still came more than 30bp through the ECB's deposit rate.