20240328-招银国际-Fixed_Income_Daily_Market_Update_5页_874kb

Fixed Income Market Commentary Summary - March 28, 2024

Market Overview

• Trading activity was light ahead of holidays this morning. Recent issues include AIA '34 tightening by 2 bps, KOMRMR '29 narrowing by 1 bp, Hongqi '25 declining 1 pt, and CHIOIL '26 dropping 75 pts after delaying FY23 results publication.

Specific Company Analysis

• HPDLF (Hopson): The concrete refinancing plan for its 705/18/24 bond was discussed; Hopson's revenue rose 258% to HKD 34.3bn in FY23, but gross margin narrowed to 277%. The company has strong liquidity with cash reserves and refinancing options.
• MEITUA (Meituan): Moody's revised its outlook to positive and affirmed Baa3 rating; the bond tightened by 2-4bps yesterday.

Trading Desk Comments

• Asian IG markets mixed; key moves: AIA '34 tightened 10bps, KOMRMR '29 widened 6-9bps. Chinese IGs like Haohua and Tencent widened 1-4bps. In India, UPLIN bonds bounced due to positive news. High-yield names saw firm activity, with LGFVs in demand.

Macro News Recap

• S&P (+0.86%), Dow (+0.12%), Nasdaq (+0.51%) rebounded; US Treasuries retreated, with yields reaching 4.54% for 2-year, etc.

Key Market Movers

• Top performers: UPLLIN bonds up significant points; underperformers include CSCHCN and HILOHO bonds down, as listed in the report.

Analyst and Public Commentary

• Analyst views focus on HPDLF's refinancing and Hopson's resilience in the challenging market.

Important Disclosures (Summary)

• Author certification confirms personal views and no compensation ties, with standard disclaimers on conflicts of interest and risk factors.