Independent Asian Credit Research, Bondcritic

Warut Promboon

Independent Asian Credit Research

Asian Fixed Income/Frontier Market Research

Bondcritic

Bondcritic, established in 2009, is designed to be an independent credit research voice that helps investors gain insights and unbiased analyses on Asian fixed income market. Our mission is to discover deep-value Asian high-yield and distressed bonds with a bottom-up approach, together with the help of our proprietary ESG (Environmental, Social Development, and Governance) model. At the same time, we focus on bringing investment cases of unrated and unloved issuers to the general public.

Debt Capital Markets

Asia High Yield Bond Index / Debt Capital Markets

<ul>
<li>Inflation will remain sticky but we expect the recession headline to keep a lid on consumer spending which should also limit the possibility of a future rate hike.</li>
<li>We believe fixed rate bonds should be the instrument of choice toward the end of this year. </li>
<li>Rising default and a lack of growth in developed markets should also bode well for Asian US Dollar (USD) bonds.</li>
</ul>


Inflation will remain sticky but we expect the recession headline to keep a lid on consumer spending which should also limit the possibility of a future rate hike.
We believe fixed rate bonds should be the instrument of choice toward the end of this year. 
Rising default and a lack of growth in developed markets should also bode well for Asian US Dollar (USD) bonds.


Asian Bond Monitor: Asian Bonds for the Upcoming Recession

<ul>
<li>As we are entering the second half of 2024, inflation has remained sticky as expected.</li>
<li>The lingering fear of a global recession has been mitigating rising shipping and production costs and, as a result, kept inflation in check.</li>
<li>We see more opportunities in selected Chinese bonds in industries away from property and local government financing vehicle (LGFV) sectors and believe non-Asia emerging bonds offer better value.</li>
</ul>


As we are entering the second half of 2024, inflation has remained sticky as expected.
The lingering fear of a global recession has been mitigating rising shipping and production costs and, as a result, kept inflation in check.
We see more opportunities in selected Chinese bonds in industries away from property and local government financing vehicle (LGFV) sectors and believe non-Asia emerging bonds offer better value.


SGX Market Strategist, Equity & Fixed Income, Singapore Exchange Ltd (SGX)

Geoff Howie

SGX Market Strategist, Equity & Fixed Income

Asia’s leading multi-asset exchange

Singapore Exchange Ltd (SGX)

Singapore Exchange is Asia’s leading and trusted market infrastructure, facilitating the exchange of capital and ideas to create value for people, businesses and economies. As a multi-asset exchange operating equity, fixed income and derivatives markets to the highest regulatory standards, SGX is a vertically integrated business that provides listing, trading, clearing, settlement, depository and data services.

With about 40% of listed companies and over 80% of listed bonds originating outside of Singapore as well as established linkages across the region and in Europe, SGX is Asia’s most international and connected exchange. Offering a full suite of derivatives products across Asian equity indices, commodities and currencies, SGX is the world’s most liquid international market for the benchmark equity indices of China, India, Japan and ASEAN.

As Asia’s pioneering central counterparty, SGX is globally recognised for its risk management and clearing capabilities, and was one of the first globally to adopt the Principles for Financial Market Infrastructure.

Headquartered in AAA-rated Singapore, SGX has over 800 employees including offices in Beijing, Chicago, Hong Kong, London, New York, Mumbai, San Francisco, Shanghai and Tokyo.

Equity Bottom-Up

Lion-Phillip S-REIT ETF / Equity Bottom-Up

<ul><li>Early Europe trading on 20 Mar saw the spot Gold price trade at US$2,010 per ounce, up from ~US$1,830 per ounce on 8 Mar, and ~US$1,820 at the end of 2022.</li><li>The recent bout of market uncertainty saw the price ratio spread of spot Gold to Brent Oil swing from 1 SD below the 3-month mean on 6 Mar, to two 2 S.D. above on 17 Mar.</li><li>Higher volatility along with the of price gold revisiting the psychological US$2,000 per ounce barrier has resulted in SPDR® Gold Shares doubling its turnover for the last 10 trading sessions since 9 March to S$4.1 million a day (compared to February levels).</li></ul>

Early Europe trading on 20 Mar saw the spot Gold price trade at US$2,010 per ounce, up from ~US$1,830 per ounce on 8 Mar, and ~US$1,820 at the end of 2022.The recent bout of market uncertainty saw the price ratio spread of spot Gold to Brent Oil swing from 1 SD below the 3-month mean on 6 Mar, to two 2 S.D. above on 17 Mar.Higher volatility along with the of price gold revisiting the psychological US$2,000 per ounce barrier has resulted in SPDR® Gold Shares doubling its turnover for the last 10 trading sessions since 9 March to S$4.1 million a day (compared to February levels).

Gold ETF Turnover Notched Higher as Spot Gold Tested US$2,000/Ounce 

Bond market data and technology, BondEvalue

BondEvalue

Bond market data and technology

BondEvalue is a Singapore-based Fintech that specializes in bond market data and technology. The company's information services business offers bond market data on hard-currency corporate & sovereign bonds across Asia, Middle East, Europe and the Americas. The data, which includes bond prices, yields, news and analytics, is offered to end investors via interactive Mobile and Web Apps. Investors can sign up for a free trial of the service either via the company's website (https://bondevalue.com) or by downloading the BondEvalue Mobile App (http://onelink.to/wej7jq). BondEvalue is also developing an electronic bond exchange, BondbloX in Singapore that allows investors to trade bonds electronically in smaller sizes (US$1,000 or equivalent). For more information, visit https://www.bondblox.com/

Bond Market Data and Technology

Credit

One of the largest credit ETFs, the iShares iBoxx Investment Grade Corporate Bond ETF (known as LQD) rose by the most in a year, as per Bloomberg. The ETF also saw its biggest 4-day rally since May 2020. On February 24, the ETF traded at 122.4 and closed on March 1 at 124.97, up 2% during the period. LQD, which has an AUM of over $36bn. Bloomberg notes that the move, being an unexpected rebound comes at a time when short interest (Term of the Day, explained below) was at an all-time high. Short interest has now eased from almost 27% of outstanding shares to about 21%. “Spreads have widened to a point where investment-grade credit once again offers at least something resembling relative value”, said Dan Krieter, a strategist at BMO Capital Markets.

LQD ETF Jumps with Largest 4-Day Rally Since May 2020

US equity markets were mixed on Monday with the S&amp;P Nasdaq ending 0.2% lower and Nasdaq ending 0.4% higher. Sectoral gains were led by Energy, up 2.6%. European markets were lower – DAX, CAC and FTSE were down 0.7%, 1.4% and 0.4%. US 10Y Treasury yields eased 5bp to 1.85%. Brazil’s Bovespa was closed on account of Carnival holidays. In the Middle East, UAE’s ADX was up 2.2% and Saudi TASI was up 1.4%. Asian markets have opened with a positive bias – Shanghai, STI and Nikkei are up 0.3%, 0.8%, 1.5% and HSI was down 0.1% respectively. US IG CDS spreads widened 1.4bp and HY spreads were 6.1bp wider. EU Main CDS spreads were 3.1bp wider and Crossover CDS spreads were a 12.8bp wider. Asia ex-Japan CDS spreads were 4bp wider.

Macro; Rating Changes; New Issues; Talking Heads; Top Gainers and Losers

Singapore

iShares Barclays USD Asia High Yield Bond Index ETF is an exchange-traded fund incorporated in Singapore. The Fund seeks to track the performance of the Bloomberg Barclays Capital USD Asia High Yield Bond Index.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Asia High Yield Bond Index (AHYG SP)

Asian Bond Monitor: Asian Bonds for the Upcoming Recession

Inflation remains high but recession fears will limit consumer spending and future rate hikes. Fixed rate bonds and Asian USD bonds are...

Bondcritic

Bond Market Monitor: No Rate Hikes

Inflation remains stable in 2024 due to fears of global recession and opportunities seen in Chinese bonds outside of property and LGFV sectors.

Bondcritic

Gold ETF Turnover Notched Higher as Spot Gold Tested US$2,000/Ounce

Early Europe trading on 20 Mar saw the spot Gold price trade at US$2,010 per ounce, up from ~US$1,830 per ounce on 8 Mar, and ~US$1,820 at the end...

Singapore Exchange Ltd (SGX)

LQD ETF Jumps with Largest 4-Day Rally Since May 2020

One of the largest credit ETFs, the iShares iBoxx Investment Grade Corporate Bond ETF (known as LQD) rose by the most in a year, as per Bloomberg....

BondEvalue

Macro; Rating Changes; New Issues; Talking Heads; Top Gainers and Losers

US equity markets were mixed on Monday with the S&P Nasdaq ending 0.2% lower and Nasdaq ending 0.4% higher. Sectoral gains were led by Energy,...

BondEvalue

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

Asian Bond Monitor: Asian Bonds for the Upcoming Recession

​Inflation remains high but recession fears will limit consumer spending and future rate hikes. Fixed rate bonds and Asian USD bonds are...

Bondcritic

Bond Market Monitor: No Rate Hikes

​Inflation remains stable in 2024 due to fears of global recession and opportunities seen in Chinese bonds outside of property and LGFV sectors.

Bondcritic

Gold ETF Turnover Notched Higher as Spot Gold Tested US$2,000/Ounce

Early Europe trading on 20 Mar saw the spot Gold price trade at US$2,010 per ounce, up from ~US$1,830 per ounce on 8 Mar, and ~US$1,820 at the end...

Singapore Exchange Ltd (SGX)

LQD ETF Jumps with Largest 4-Day Rally Since May 2020

One of the largest credit ETFs, the iShares iBoxx Investment Grade Corporate Bond ETF (known as LQD) rose by the most in a year, as per Bloomberg....

BondEvalue

Macro; Rating Changes; New Issues; Talking Heads; Top Gainers and Losers

US equity markets were mixed on Monday with the S&P Nasdaq ending 0.2% lower and Nasdaq ending 0.4% higher. Sectoral gains were led by Energy,...

BondEvalue

Inflation remains high but recession fears will limit consumer spending and future rate hikes. Fixed rate bonds and Asian USD bonds are...

Inflation remains stable in 2024 due to fears of global recession and opportunities seen in Chinese bonds outside of property and LGFV sectors.