20220817-招银国际-Fixed_Income_Daily_Market_Update_5页_798kb

报告摘要

CMBI Credit Commentary Summary

Core Content

This document is a Fixed Income Daily Market Update from CMBI Fixed Income, providing insights into the recent market movements and macroeconomic news in the Asian fixed income space. It outlines the performance of various bonds, market sentiment, and upcoming issuance activity, with a focus on Chinese property and financial sectors.

Main Market Observations

General Market Sentiment

Market sentiment remained recovering this morning.
SOE perps (state-owned enterprise perpetuals) saw buying flows, especially in high-grade names.
Longer tenor LGFVs (local government financing vehicles) experienced selling pressure.

Chinese Property Sector

Chinese property names included in government support news rallied yesterday.
- CIFIHG, COGARD, SINOCE, LNGFOR jumped 7-14pts.
- FUTLAN, GEMDAL edged 1-3pts higher.
However, these names stalled out this morning.
LNGFOR longer-dated notes led the rise, with a surge of 10-12pts, due to plans to issue interbank notes guaranteed by state-owned China Bond Insurance Corp.
MEITUA spreads initially widened 30-50bps but later stabilized to 10-20bps wider.
TMT sector faced panic selling, but short-squeezing helped stabilize prices.

Financials and AMCs

Bank names were relatively stable.
AMCs (Asset Management Companies) were weak, with GRWALL/HRINTH widening 8-14bps.
Huarong reported a RMB18.9bn (cUSD2.8bn) net loss for 1H22, attributed to credit impairments.
Jiayuan extended the maturity of 19JYCSHG03 by one year.
Suzhou City Construction Investment Group announced the issuance of USD100mn 5.5% credit enhanced bonds due in 2025.

Market Activity

Chinese HY space showed recovery from property sector uplift, with active buying on the front end.
Offshore investors showed interest in onshore bonds yielding mid-4% to 6%+.
Long-end LGFVs saw increased selling as contrarian investors offloaded risks.
Front-end papers saw strong demand from rebalancing and yield enhancement flows.

Key Information

Top Movers

Bond	Price	Change
SINOCE 3.8 04/26/25	52.2	+14.6
CIFIHG 6.45 11/07/24	39.1	+14.2
LNGFOR 4 1/2 01/16/28	77.6	+12.3
SINOCE 6 07/30/24	40.9	+11.9
LNGFOR 3.85 01/13/32	68.3	+11.9

Top Underperformers

Bond	Price	Change
HILOHO 9 3/4 11/18/24	45.7	-4.5
WYNMAC 5 1/8 12/15/29	75.2	-2.6
WYNMAC 5 5/8 08/26/28	78.3	-2.3
ROADKG 7.95 PERP	23.9	-2.1
ICBPIJ 4.805 04/27/52	78.3	-2.0

Macro News

U.S. stock indexes rallied due to Walmart's strong results and optimistic outlook.
U.S. Treasury yields edged higher, with the 2/5/10/30-year yields at 3.25%/2.95%/2.82%/3.11%.
Crude oil prices fell again, with WTI and Brent decreasing 2.54% and 2.46%, respectively.

Key Downgrades and Ratings

S&P downgraded CCRE to CCC+ from B-, citing unsustainable financial commitments.
Fitch downgraded Country Garden to BB+ from BBB-, due to weak financial flexibility.
CMBIS is a wholly owned subsidiary of CMB International Capital Corporation, which is a subsidiary of China Merchants Bank.

Disclaimer and Risk Information

The author certification confirms that the views expressed are personal and not influenced by compensation.
The author has not traded in the stocks covered within 30 days prior to the report and will not trade within 3 business days after.
Important Disclosures highlight that investments are risky, and past performance does not guarantee future results.
The report is not investment advice and should be independently evaluated.
CMBIS may have conflicts of interest and is not liable for any losses resulting from reliance on the report.

Distribution Restrictions

The report is intended for specific recipients and may not be reproduced, reprinted, sold, or published without written consent.
In Singapore, the report is distributed by CMBI (Singapore) Pte. Limited, an Exempt Financial Adviser.
In the United Kingdom, the report is only available to Article 19(5) or Article 49(2) investors.
In the United States, the report is only for major institutional investors and not for general distribution.