Summary: Corporate bond spreads 13bps wider on average; swap spreads wider; iTraxx up 7 points.
Corporate spreads finished the week about 13bps wider on average as corporate bond yields generally lagged the falls of their Commonwealth counterparts. The majority of spreads’ week-on-week changes at the individual level were within a range of +9bps to +25bps; Qantas’ October 2026s (spread: 214bps, +35bps) and Macquarie Group December 2027s (spread: 240bps, +31bps) were the most notable exceptions.
One of the two other main measures of corporate risk, swap-to-bond spreads, widened. Another measure of corporate risk, credit default swap premiums, increased noticeably for a second consecutive week. The Australian credit default swap index, the iTraxx Australia Series 37, finished 7.00 points higher at 100.00 points.
AUSTRALIAN CORPORATE BONDS
| ISSUER | MATURITY | COUPON (%) | RATING | CLOSING YIELD | Δ WEEK | Δ MONTH | WEEK HIGH | WEEK LOW |
|---|---|---|---|---|---|---|---|---|
| ANZ | 16 Aug 23 | 5.00 | AA- | 4.08 | -0.01 | -0.03 | 4.15 | 3.96 |
| QANTAS | 10 Oct 23 | 4.40 | NR | 4.68 | -0.01 | -0.04 | 4.75 | 4.51 |
| AUSTPOST | 13 Nov 23 | 5.50 | A+ | 4.05 | -0.20 | -0.24 | 4.21 | 3.88 |
| WESTPAC | 21 Nov 23 | 5.25 | AA- | 4.06 | -0.04 | -0.20 | 4.25 | 3.90 |
| FONTERRA | 26 Feb 24 | 5.50 | A- | 4.10 | -0.28 | -0.41 | 4.34 | 3.90 |
| NAB | 11 Mar 24 | 5.00 | AA- | 4.19 | -0.10 | -0.23 | 4.35 | 4.01 |
| RABO NL AU | 11 Apr 24 | 5.50 | A+ | 4.25 | -0.24 | -0.32 | 4.47 | 4.05 |
| CBA | 27 May 24 | 4.75 | 4.12 | -0.20 | -0.41 | 4.33 | 3.93 | |
| AUSNET | 21-Jun-24 | 4.00 | BBB+ | 4.49 | -0.30 | -0.42 | 4.71 | 4.28 |
| MACQUARIE | 07 Aug 24 | 1.75 | A+ | 4.37 | -0.19 | -0.33 | 4.57 | 4.16 |
| WFC | 27 Aug 24 | 4.75 | 4.80 | -0.07 | -0.23 | 4.92 | 4.59 | |
| UNISYD | 28 Aug 25 | 3.75 | 4.12 | -0.22 | -0.37 | 4.25 | 3.95 | |
| APPLE | 10 Jun 26 | 3.60 | 4.03 | -0.17 | -0.33 | 4.17 | 3.90 | |
| CBA | 11 Jun 26 | 4.20 | 4.35 | -0.12 | -0.37 | 4.47 | 4.23 | |
| ANZ | 22 Jul 26 | 4.00 | 4.34 | -0.12 | -0.37 | 4.46 | 4.22 | |
| QANTAS | 12 Oct 26 | 4.75 | 5.21 | 0.05 | -0.14 | 5.61 | 5.12 | |
| AUSPAC AIRPORT | 04 Nov 26 | 3.75 | BBB+ | 4.66 | -0.12 | -0.31 | 4.76 | 4.54 |
| AUSTPOST | 01 Dec 26 | 4.00 | A+ | 4.29 | -0.13 | -0.31 | 4.38 | 4.17 |
| WSO FINANCE | 31 Mar 27 | 4.50 | 4.64 | -0.18 | -0.38 | 4.79 | 4.52 | |
| TELSTRA | 19 Apr 27 | 4.00 | A | 4.37 | -0.15 | -0.44 | 4.49 | 4.26 |
| ASCIANO | 12 May 27 | 5.40 | BBB- | 5.89 | -0.11 | -0.19 | 5.98 | 5.77 |
| FONTERRA | 02 Nov 27 | 4.00 | A- | 4.62 | -0.08 | -0.32 | 4.74 | 4.51 |
| MACQUARIE | 15 Dec 27 | 4.15 | BBB+ | 5.50 | 0.03 | -0.12 | 5.59 | 5.39 |
| AUSNET | 21 Aug 28 | 4.20 | A- | 5.21 | 0.02 | -0.20 | 5.33 | 5.11 |
| AUSNET | 31 Jul 29 | 2.60 | A- | 5.41 | -0.09 | -0.30 | 5.51 | 5.33 |