Report Industry Investment Rating No relevant content provided. Core Viewpoints of the Report - The report provides a daily update on the fixed - income market, including bond price changes, new issuances, and macro - news. It also analyzes the profit situation of WESCHI and gives investment suggestions [1][7][8]. Summary by Relevant Catalogs Trading Desk Comments - Yesterday, GUOTJU priced a 3 - year floating - rated bond at SOFR + 60 (IPT at SOFR + 115). In KR, spreads of DAESEC/SHINFN/NACF 26 - 30s widened by 1 - 2bps. HYNMTR Float 30 tightened 8bps, and HYNMTR 5.3 29/HYNMTR 3.5 31 tightened 2 - 4bps [1]. - In Chinese IGs, BABA/HAOHUA 28 - 35s were unchanged to 1bps tighter, while MEITUA 30 widened 2bps. In financials, BBLTB/KBANK 31 - 40s tightened 2 - 4bps, and NANYAN/BNKEA 30 - 34s tightened 2 - 3bps [1]. - In insurance, SHIKON/CATLIF 34 - 35s were unchanged to 1bp tighter. MYLIFE/NIPLIF 54 - 55s and SUMILF/FUKOKU Perps were up 0.1 - 0.3pt. In AT1s, NWG 7.3/BNP 7.375/HSBC 6.95 Perps were up 0.2 - 0.8pt [1]. - In HK, AIA/CKHH 30 - 35s tightened 1 - 2bps under buying from PBs. LIFUNG 5.25 Perp was 3.1pts higher, and LIFUNG 5.25 08/18/25 was up 0.1pt. Li & Fung launched a tender offer for LIFUNG 5.25 Perp up to USD50mn at USD55 and mandated a 3.5 - year USD bond issuance [1]. - HYSAN/FAEACO Perps were up 0.2 - 0.5pt. LASUDE 26 was up 0.7pt. Media reported Lai Sun Development has been working on a HKD3.5bn 5 - year loan refinancing deal. NWDEVL 27 - 31s/Perps were unchanged to 0.4pt lower [1]. - In Chinese properties, ROADKG 28 - 30s were 0.5 - 3.6pts lower, and ROADKG Perps were unchanged to 0.2pt lower. Outside properties, WESCHI 26 was up 0.2pt. FOSUNI 25 - 28s were up 0.3 - 0.5pt. MONMIN 30 was up 0.7pt, closed 2.6pts higher WTD [1]. New Issuances - TEMASE priced 5 - year, 10 - year, and 30 - year CNH bonds at par to yield 1.85%, 2.05%, and 2.55% (IPT at 2.3%, 2.55%, and 3.05%) respectively [2]. - CHMEDA priced 5 - year and 10 - year CNH bonds at par to yield 2% and 2.3% (IPT at 2.55% and 2.85% area) respectively [4]. - Jiaozuo State - owned Capital Operation (Holding) Group issued a 150 - million 3 - year bond at a 6.5% coupon rate, unrated [12]. Morning Updates - This morning, the new CNH TEMASE 1.85 30/TEMASE 2.05 35 were 0.1 - 0.2pt lower, while TEMASE 2.55 55 was 0.5pt higher from ROs at par. The new CNH CHMEDA 2 30/CHMEDA 2.3 35 were unchanged to 0.1pt lower. VLLPM 29 was up 0.5pt [3]. - WESCHI 4.95 07/08/26 was up 1.0pt this morning post - positive profit alert. HYUELEs were unchanged this morning as SK Hynix 2Q25 EBITDA rose 47% yoy to KRW12.7tn (cUSD9.1bn) [3]. Macro News Recap - On Wednesday, S&P (+0.78%), Dow (+1.14%), and Nasdaq (+0.61%) were higher. Trump said countries will face tariffs ranging from 15% to 50% ahead of an 1 Aug '25 deadline. The US may impose a 15% tariff on EU goods. UST yield was higher on Wednesday, with 2/5/10/30 - year yields at 3.88%/3.94%/4.40%/4.95% [7]. Desk Analyst Comments - West China Cement (WESCHI) expects the profit attributable to owners to increase 80 - 100% yoy to RMB696 - 774mn in 1H25, driven by overseas cement revenue, mainland China cement sales, property sales profit, and reversal of impairment losses [8]. - WESCHI plans to use proceeds from non - core asset sales to partly repay its WESCHI 4.95 07/08/26 due in Jul '26. The company also plans to sell other assets and offshore projects for bond repayment [9]. - Despite potential recovery in the Chinese cement market, caution remains regarding WESCHI's ability to remit cash from African operations. The full and timely repayment of the bond is uncertain. The report maintains a neutral rating on WESCHI 4.95 07/08/26 and prefers BTSDF 9.125 07/24/28 and EHICARs in the China HY space [10]. News and Market Color - Regarding onshore primary issuances, 123 credit bonds were issued yesterday with an amount of RMB119bn. Month - to - date, 1,592 credit bonds were issued with a total amount of RMB1,699bn, a 16.6% yoy increase [14]. - Adani Ports is in the race to set up a logistics park in north India. San Miguel buys a 3.8% stake in First Pacific - owned Meralco for PHP3.9bn (cUSD68.4mn) [14]. - Fosun will early redeem USD178.857mn FOSUNI 5.95 10/19/25 at 101 on 22 Aug '25. China Hongqiao seeks a USD300mn - equivalent three - year loan [14]. - JD.com will create a virtual restaurant chain. Media reported Lai Sun Development has been seeking an HKD3.5bn loan refinancing deal, but about half of the lenders have yet to commit [14]. - Li & Fung says no covenant restriction on perp refi, and the final plan depends on EBITDA. Rakuten sells JPY bonds for JPY30bn (cUSD204mn) for 5G projects [14]. - Sands China 2Q25 adjusted property EBITDA climbs 0.9% yoy to USD566mn. Viceroy alleges Vedanta's promoters siphon margins from Hindustan Zinc [14]. Top Performers and Underperformers | Top Performers | Price | Change | Top Underperformers | Price | Change | | --- | --- | --- | --- | --- | --- | | LIFUNG 5 1/4 PERP | 51.4 | 3.1 | ROADKG 5 1/8 01/26/30 | 22.8 | - 3.6 | | NSANY 5 1/4 07/17/29 | 100.9 | 1.1 | ROADKG 6.7 03/30/28 | 26.5 | - 1.7 | | NWG 7.3 PERP | 102.3 | 0.8 | ROADKG 6 03/04/29 | 25.8 | - 1.7 | | MONMIN 8.44 04/03/30 | 97.4 | 0.7 | GRNLGR 5 7/8 07/03/30 | 21.9 | - 0.9 | | LASUDE 5 07/28/26 | 52.0 | 0.7 | ROADKG 5.2 07/12/29 | 25.9 | - 0.6 | [5]
固定收益部市场日报-20250724