BARCLAYS INCREASED ITS INTERIM DIVIDEND by 20 percent following strong performance from its trading division. The bank reported a 1.58 billion pound pre-tax profit for the second quarter of 2019 slightly down from last year. “We are accumulating capital at a very strong rate and we feel good about that,” Chief Executive Jes Staley said, ‘adding that a 9 pence full-year dividend would be the highest payout to Barclays shareholders since 2008.’(USD) 6.5% 4/15/2022 Reg S ADI (Advantage Data Inc.). Extensive corporate-bond index data showed a net daily yield increment for high-grade versus high-yield constituents. High-grade bonds edged out high-yield debt as of 3 PM, London time. Among European high-grade bonds showing a concurrence of top price gains at appreciable volumes traded, Vodafone Group Plc (USD) 6.15% 2/27/2037 made some analysts' 'Conviction Buy' lists. (See the chart for Vodafone Group bonds below). Corey Mahoney
Credit-Default Swap Market
|New Issues||New Issues [Continued]|
1. Contourglobal Power Hldg SA (EUR) 4.125% 8/1/2025 (07/31/2019): 100MM First Lien Notes, Price at Issuance 106, Yielding 3.024%.
2. BNP Paribas (EUR) 0% 8/12/2022 (07/31/2019): 205MM Senior Unsecured Notes, Price at Issuance 100.423, Yielding -.14%.
|iShares Core EUR UCITS||iShares Euro High Yield UCITS|
|NAV as of 08/01/2019, 135.10||NAV as of 08/01/2019, 105.28|
|Daily NAV Change (%) +0.10%||Daily NAV Change (%) +0.10%|
OVERALL EUROPEAN CREDIT MARKET:
The euro-zone economy shows signs of positive momentum, although conditions are expected to deteriorate hindered by the termination of quantitative easing, weakening credit rating quality, and uncertainty regarding the outcome of Brexit. Closely watched indicators and rates:
- Eurostat's unemployment rate: currently 7.5% (seasonally adjusted, May 2019)
- Eurostat's quarterly GDP: 0.4% (2019 Q1)
- 6-month Euribor: current value -0.362%, as of 08/01/2019
Copyright 2019 Advantage Data Inc. All Rights Reserved. http://www.advantagedata.com
Information in this document should not be regarded as an offer to sell or solicitation of an offer to buy bonds or any financial instruments referred to herein. All information provided in this document is believed to be accurate. However, Advantage Data and its sources make no warranties, either express or implied, as to any matter whatsoever, including but not limited to warranties of merchantability or fitness for a particular purpose. Opinions in this document are subject to change without notice. Electronic redistribution, photocopying and any other electronic or mechanical reproduction is strictly prohibited without prior written permission from Advantage Data Inc.