Summary: Corporate bond spreads unchanged; swap spreads a touch wider; iTraxx up modestly.
Corporate spreads finished the week unchanged on average as corporate bond yields matched the rises of their Commonwealth Government counterparts. The majority of spreads’ week-on-week changes at the individual level were within a range of -5bps to +1bp and exceptions were not particularly noteworthy.
One of the two other main measures of corporate risk, swap-to-bond spreads, were a touch wider. The other main measure, credit default swap premiums, increased a little on average. The Australian credit default swap index, the iTraxx Australia Series 39, finished 0.50 points higher at 76.00 points.
AUSTRALIAN CORPORATE BONDS
| ISSUER | MATURITY | COUPON (%) | RATING | CLOSING YIELD | Δ WEEK | Δ MONTH | WEEK HIGH | WEEK LOW |
|---|---|---|---|---|---|---|---|---|
| QANTAS | 10-Oct-23 | 4.4 | 4.77 | 0.00 | -0.18 | 4.78 | 4.77 | |
| AUSTRALIA POST | 13-Nov-23 | 5.5 | A+ | 4.36 | -0.01 | -0.13 | 4.37 | 4.36 |
| WESTPAC | 21-Nov-23 | 5.25 | 4.38 | -0.03 | -0.14 | 4.40 | 4.38 | |
| FONTERRA | 26-Feb-24 | 5.5 | A- | 4.61 | -0.02 | -0.15 | 4.62 | 4.61 |
| NATIONAL AUST. BANK | 11-Mar-24 | 5 | 4.57 | 0.01 | -0.08 | 4.59 | 4.56 | |
| RABOBANK NEDERLANDS AUST | 11-Apr-24 | 5.5 | A+ | 4.70 | 0.01 | -0.03 | 4.71 | 4.68 |
| COMMONWEALTH BANK | 27-May-24 | 4.75 | 4.58 | 0.00 | -0.15 | 4.60 | 4.57 | |
| AURIZON NETWORK | 21-Jun-24 | 4 | BBB+ | 5.14 | 0.03 | -0.08 | 5.16 | 5.12 |
| MACQUARIE BANK | 7-Aug-24 | 1.75 | A+ | 4.66 | -0.02 | -0.21 | 4.73 | 4.65 |
| WELLS FARGO | 27-Aug-24 | 4.75 | BBB+ | 5.18 | 0.04 | -0.06 | 5.20 | 5.15 |
| WOOLWORTHS | 20-May-25 | 1.85 | BBB | 4.73 | 0.04 | -0.09 | 4.76 | 4.71 |
| UNIVERSITY OF SYDNEY | 28-Aug-25 | 3.75 | 4.62 | 0.03 | -0.15 | 4.65 | 4.60 | |
| NBN CO | 3-Dec-25 | 1 | 4.86 | 0.05 | -0.10 | 4.89 | 4.84 | |
| APPLE | 10-Jun-26 | 3.6 | AA+ | 4.49 | 0.00 | -0.13 | 4.54 | 4.49 |
| COMMONWEALTH BANK | 11-Jun-26 | 4.2 | AA- | 4.74 | 0.04 | -0.11 | 4.78 | 4.73 |
| ANZ BANK | 22-Jul-26 | 4 | AA- | 4.75 | 0.07 | -0.11 | 4.78 | 4.73 |
| NBN CO | 28-Sep-26 | 4.75 | 4.83 | 0.05 | -0.05 | 4.88 | 4.82 | |
| QANTAS | 12-Oct-26 | 4.75 | NR | 5.41 | 0.04 | -0.20 | 5.46 | 5.41 |
| AUST. PACIFIC AIRPORTS | 4-Nov-26 | 3.75 | BBB+ | 5.02 | 0.04 | -0.14 | 5.07 | 5.02 |
| WSO FINANCE | 1-Dec-26 | 4 | A+ | 4.69 | 0.04 | -0.13 | 4.74 | 4.69 |
| WSO FINANCE | 31-Mar-27 | 4.5 | 5.18 | 0.04 | -0.12 | 5.23 | 5.18 | |
| NBN CO | 14-Apr-27 | 4.2 | 4.85 | 0.06 | -0.03 | 4.90 | 4.85 | |
| TELSTRA | 19-Apr-27 | 4 | A- | 4.63 | 0.00 | -0.14 | 4.69 | 4.63 |
| PACIFIC NATIONAL FINANCE | 12-May-27 | 5.4 | BBB- | 6.83 | 0.04 | -0.25 | 6.88 | 6.83 |
| LENDLEASE | 27-Oct-27 | 3.4 | 6.46 | 0.05 | -0.13 | 6.52 | 6.46 | |
| FONTERRA | 2-Nov-27 | 4 | A- | 4.97 | 0.03 | -0.17 | 5.03 | 4.97 |
| WOOLWORTHS | 15-Nov-27 | 1.85 | BBB | 4.73 | 0.07 | -0.19 | 4.79 | 4.73 |
| AUSTRALIA POST | 8-Dec-27 | 4.99 | 4.93 | 0.04 | -0.15 | 4.98 | 4.93 | |
| MACQUARIE GROUP | 15-Dec-27 | 4.15 | BBB+ | 5.72 | -0.02 | -0.25 | 5.82 | 5.72 |
| NBN CO | 2-Jun-28 | 2.15 | 5.04 | 0.05 | -0.12 | 5.10 | 5.04 | |
| WESFARMERS | 23-Jun-28 | 1.94 | A- | 4.96 | 0.04 | -0.13 | 5.02 | 4.96 |
| AUSNET | 21-Aug-28 | 4.2 | BBB+ | 5.43 | 0.08 | -0.17 | 5.49 | 5.42 |
| QANTAS | 27-Sep-28 | 3.15 | 5.65 | 0.04 | -0.29 | 5.72 | 5.65 | |
| AIRSERVICES AUST | 15-Nov-28 | 5.4 | 4.54 | 0.04 | -0.16 | 4.60 | 4.54 | |
| AUSNET | 31-Jul-29 | 2.6 | BBB+ | 5.84 | 0.10 | -0.11 | 5.91 | 5.81 |
| QANTAS | 27-Nov-29 | 2.95 | 6.03 | 0.04 | -0.23 | 6.10 | 6.03 | |
| WOOLWORTHS | 20-May-30 | 2.8 | BBB | 5.52 | 0.07 | -0.15 | 5.59 | 5.52 |
| QANTAS | 9-Sep-30 | 5.25 | 6.02 | 0.04 | -0.25 | 6.09 | 6.02 | |
| NBN CO | 16-Dec-30 | 2.2 | 5.53 | 0.06 | -0.16 | 5.60 | 5.53 | |
| BRISBANE AIRPORT | 30-Dec-30 | 4.5 | BBB | 5.72 | 0.04 | -0.20 | 5.79 | 5.72 |
| LENDLEASE | 31-Mar-31 | 3.7 | 7.51 | 0.05 | -0.10 | 7.59 | 7.51 | |
| WESFARMERS | 23-Jun-31 | 2.55 | A- | 5.58 | 0.04 | -0.16 | 5.65 | 5.58 |
| WOOLWORTHS | 15-Nov-31 | 2.75 | BBB | 5.80 | 0.07 | -0.13 | 5.87 | 5.80 |