High-Yield Bond Sales Ramp Up Amid Concerns Over Volatility
- April bond sales will surpass 2017 tally of 6.3 billion euros
- Investors disciplined around trickier credits, pricing shows
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Europe’s high-yield market has sprung back to action this month with 6.0 billion euros equivalent ($7.3 billion) of new supply as borrowers of all shapes and sizes take advantage of a window for issuance. The potential for market volatility may soon close that window, however, with the European Central Bank set to signal how it’ll end quantitative easing in July.
"The threat of volatility is here to stay with many moving pieces on the economic and monetary policy front," said Kevin Foley, head of loan and high yield capital markets, EMEA at JPMorgan Chase Bank. "For issuers, the key remains preparing in advance so that they are in a position to take advantage of issuance windows."