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US primary market issuances jumped to $60.3bn vs. $28.2bn in the week prior to it. IG issuers took up $52.2bn of the total, led by Abbott Labs’ $20bn eight-part deal and AbbVie’s $8bn seven-trancher. HY deals stood at $7.7bn, with volumes led by WESCO’s $1.5bn and Sunoco’s $1.2bn two-part deals each. In North America, there were a total of 65 upgrades and 26 downgrades, across the three major rating agencies last week. US IG funds saw $1.75bn in inflows during the week ended February 25, adding to the $3.77bn inflows seen during the week before that. US HY bond funds saw $406.3mn in outflows during the week, adding to the $152.1mn outflows seen in the prior week.
EU Corporate G3 issuances fell to $27.1bn vs. $30.5bn a week earlier. EDF’s €2.75bn four-trancher led the tables, followed by BBVA’s $2.7bn four-part issuance. The region saw 32 upgrades and 15 downgrades across the three major rating agencies. Last week, the GCC dollar primary bond market saw $4.9bn in new deals vs. only $200mn seen in the prior week, led by Abu Dhabi’s $3bn two-trancher and QIB’s $750mn, followed by Omniyat and CBQ’s $600mn and $500mn issuances. In the Middle East/Africa region, there were 3 upgrades and 10 downgrades across the major rating agencies – a majority of the downgrades occured with regard to Bahrain-based companies due to the sovereign’s downgrade to B by Fitch. LatAm issuance fell to only $650mn compared to $3.1bn in new deals in the week prior led by Provincia De Entre Rios Argentina and Paraguay raising $300mn each. The South American region saw 5 upgrades and no downgrades, across the three major rating agencies last week.
G3 issuances from the APAC ex-Japan region last week stood at $9.9bn vs. $592mn a week prior to it. Indonesia’s €2.7bn three-part issuance led the tables, followed by NAB’s $1.43bn multi-currency issuance and Advanced Info Services $1bn two-trancher. In the APAC region, there were 12 upgrades and 4 downgrades across the three rating agencies.
