Issuers in listing mode
OUTLOOK/ Corporate bonds
| However, this week, Housing Development Finance Corporation is expected to tap the market to raise Rs 400 crore through ten-year and 13-year papers carrying 5.90 per cent and 6 per cent coupons. |
| The spread between Triple A-rated five-year paper and corresponding gilt is currently hovering around 80-85 basis points. |
| Dealers said that the spread has steepened following the firming up of gilt yields. Consequently, tracking gilts, corporate bonds have also gone up. |
| Dealers said Punjab National Bank is also slated to hit the market but the modalities of this are not yet known. |
| While primary market is gearing up for activity, the secondary market remains dull as the underlying papers have all witnessed a rise in yields. |
| The uncertainty in the interest rate outlook is forcing players to remain liquid by investing in gilts "" and avoiding corporate bonds. |
| In fact, banks are in the process of paring their exposure to bonds. |
| Insipidity reigns in the CP mart |
| The commercial paper market is gradually seeing increased activity, both on the primary side as well as the secondary segment. |
| Tata Sons and Grasim have raised money through 91-day commercial paper. |
| Even though there is abundant liquidity in the system, some banks such as ICICI Bank and Kotak Bank have issued certificate of deposits. |
| The CP market has ceased to be active as most of the corporates can now raise funds through short-term demand loans. |