#CbondsWeekly. All the latest updates in the world of Eurobonds.

Last week, US Treasury yields rose across the curve, with the 2-year yield increasing 7 bps and the 10-year yield up 5 bps, driven by ongoing inflation concerns and robust economic data. Regional Cbonds USD price indices showed a broad increase in yields across both corporate and sovereign segments, with emerging market sovereigns in Africa and Latin America seeing the sharpest weekly rises. Stock market indices were mixed, as the tech-heavy NASDAQ 100 and Nikkei 225 posted weekly gains of over 2% amid a continued AI-driven semiconductor rally, while the Dow Jones and FTSE 100 edged slightly lower. The US dollar strengthened modestly against the euro and yen but weakened slightly against the British pound, with the US Dollar Index rising 0.4%. In commodities, Brent crude oil surged over 16% due to ongoing geopolitical tensions and uncertainty over the Strait of Hormuz, while gold and silver declined, with silver falling over 6% on profit-taking.

In emerging markets, Aegea Saneamento e Participacoes bonds led declines, falling over 5% after S&P downgraded the issuer to 'B' from 'B+' due to higher-than-expected leverage with a negative outlook. CSN bonds also fell amid a broader high-yield sector decline. Grupo Televisa bonds dropped nearly 2.5% despite UBS raising its price target on the stock, maintaining a neutral rating. Codelco bonds edged lower as the company faces structural liquidity strain from rising $25 billion debt, though production recovery plans and strong EBITDA provide some offset. Other notable price movers lacked clear catalysts.

In developed markets, Fairfax Financial Holdings bonds fell 3.3% after the firm reported a 20.5% increase in book value for 2025 and net earnings rising to $4.77 billion, as well as completing a C$650 million debt offering and announcing the Kennedy Wilson acquisition. Brookfield Corporation bonds declined 2.6% following technical signals suggesting a pullback, with its 10-day RSI exiting overbought territory. Rogers Communications bonds rose 0.8% after the company slashed its 2026 capital expenditure by C$1 billion to C$2.6 billion and raised its free cash flow outlook to C$4.2 billion, driving a stock surge. NXP B.V. bonds gained 0.7% after the company redeemed the full $750 million of its 3.875% senior notes due June 2026 as part of its capital allocation strategy. goeasy bonds edged up 0.8% after closing a combined USD 450 million and CAD 175 million senior unsecured notes offering.

Bond market news and Research Hub highlights of the last week include a historic semiconductor rally that has driven U.S. stocks to record highs, with analysts issuing warnings over the pace of gains in the PHLX Semiconductor Index. Meanwhile, the AI chip boom has elevated Taiwan and South Korea past major European markets, with Taiwan's stock market now valued at nearly $4.3 trillion. Research reports also note rising political instability in Romania and a unique no-war, no-peace stand-off at the Strait of Hormuz, alongside JP Morgan's observation that analyst optimism on earnings is being driven overwhelmingly by AI-related tech companies.