The European high yield credit indices ended the week only moderately wider but intra week the volatility was high. The iTraxx Crossover index closed yesterday at around 287bp but intra-week it peaked at 295bp.
Last week, we saw continued pressure in the secondary investment grade cash markets driven by new supply. In the Nordic high-yield cash market, the story is different. Our indicative Nordic HY index widened only 2bp over the week and the market remains illiquid, so there is not much happening. If anything, there is some pressure in the 'BB-' segment - again driven by expected new issuance.
The primary Nordic high-yield markets remain open. Last week, we saw a new 5Y USD130m deal from Höegh LNG and we expect more Nordic high-yield issuance before the usually quiet summer season kicks in.
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