#CbondsWeekly – all the latest updates in the world of Eurobonds

Last week, US Treasury yields declined across key maturities, with decreases ranging from 6 to 9 basis points, led by the 5-year tenor. The positive momentum in US rates was mirrored in the fixed income space, as all regional USD corporate and sovereign bond price indices, calculated by Cbonds, posted gains for the week, led by the African corporate segment. Paradoxically, the leaders of both the rise and the fall were the bonds of the Brazilian company Braskem, which reacted in opposite directions to the company's credit rating downgrade. The week's biggest losers show a distinct regional trend – all are companies from Latin America.

In developed markets, Canadian companies led the list of both the top gainers and the top losers. Hydro-Quebec topped the list of gainers with a price increase of 1.67 percentage points. The list of the biggest losers was led by Alimentation Couche-Tard with a price decline of 1.78 percentage points. Overall, the geography of last week's gainers and losers was mostly concentrated in North America.

Bond market news and Research Hub highlights of the last week include the market's focus on the upcoming release of the US Fed's July FOMC meeting minutes for clues on the path of monetary policy. Chinese offshore 'dim sum' bond issuance is on track for a record year, fueled by attractive low yields. Research noted a continued shift in Chinese export flows away from the US, while weak Chinese economic activity data contrasted with a rally in local stocks. Furthermore, US stock indices declined as bond yields climbed amid the wait for policy signals.

You can read the full version of the report in Research Hub Cbonds