SINGAPORE, March 21 (IFR) - Low volumes were the order of the day in secondary credit trading in Asia, where most benchmarks ended unchanged. The lack of activity, however, was no indication of comfort.
Traders said that investors were concentrating on the flood of new issues that hit the market both on the high-yield and the investment-grade segments. One analyst also said accounts were taking a step back from secondary trading as they waited to see what happened with Cyprus.
As a result, high-yield bonds ended unchanged in the day with the Asia ex-Japan iTraxx IG Series 19 Index closing unchanged at 117bp-119bp. While accounts were unwilling to sell or add to their positions in secondary markets, there was no shortage of interest for the deals in the market.
Sompo Insurance's Reg S/144a hybrid logged in more than USD13bn in orders, and Alam Sutera's USD230m 7-year bond saw orders of more than USD4bn. Filinvest's USD250m 7-year was also 6x oversubscribed.