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Following Queensland Treasury Corporation (QTC)’s debut at the longer end of the maturity spectrum, Nordic Investment Bank (NIB) priced its debut Kauri bond, a NZ$400 million (US$275.18 million) three year, on September 6.

On September 6 the Reserve Bank of Australia (RBA) announced a widening of the range of securities it is prepared to accept under repurchase agreements, to include bank bonds and some RMBS.

On September 5 Queensland Treasury Corporation (QTC) (Aaa/AAA) priced its debut Kauri transaction, after leads ANZ Institutional (ANZ), Deutsche Bank and RBC Capital Markets (RBCCM) quietly launched the trade the day before.

European agency Eurofima (AAA/Aaa) has become the first institution to access the Kangaroo primary market since June, bringing an A$100 million (US$82.44 million) tap to its 2020 bond, which now totals A$500 million.

The European Investment Bank (EIB) (AAA/Aaa) tapped its inaugural Kauri bond by NZ$400 million (US$232 million) on August 31, doubling the size of the issue.

ANZ’s monthly survey of credit sentiment among Australian investors indicates that despite widespread belief that credit spreads will continue to widen for up to a year, a significant proportion of investors regard current market conditions as a potential buying opportunity.

German federal agency for agriculture, Rentenbank (AAA/Aaa/AAA) has finalised plans for its forthcoming Australian roadshow. And, for the first time ever, the agency will add meetings with New Zealand-based investors to its itinerary.

Although fears of a global banking system crisis are overstated concentration of risk is likely to require more frequent central bank interventions than in the past, a report from Moody’s Investor Services says.

International Finance Corporation (IFC) (AAA/Aaa) priced its first Kauri bond on August 10, a NZ$300 million (US$227 million) five-year deal increased to NZ$500 million on August 21.

Speculation that troubled US mortgage lender Countrywide (CFC) may be approaching bankruptcy may be overstated, analysts say, with the firm likely to either ride out its short-term funding crisis or be bought out before reaching insolvency.

The fate of another financial institution hit hard by sub-prime mortgage woes, Dutch investment bank NIBC (A-/A3), looks to have been secured following its takeover by Iceland’s Kaupthing Bank (Aa3/A).

Market participants agree that increased relative value opportunities are a likely beneficial result of last week's credit correction, centred on US financial institutions' exposure to sub-prime debt and LBO finance.