Monthly analysis of the Negotiable Debt Securities Market

December 2020

Evolution of stocks

• Bank NEU CP: outstanding amounts stabilizes (-9.5% in December unchanged from November and -4.6% in December 2019).
• Corporate NEU CP: outstanding amounts builds up momentum in December (+ 30.6%, after + 20.7% in November and + 10.2% in December 2019).
• The usual seasonal decline in December impacts the level of outstanding amounts of corporate and to a lesser extent bank issuers (-27% and -2% respectively in seasonally adjusted data)

Average rates and durations at issuance

• Bank NEU CP: Average monthly rates keep getting lower in December (decrease between -1 and -6 bps) and the curve flattens on maturities of six months or less.
• Corporate NEU CP: Average monthly rates are increasing slightly on most maturities (between + 2 and +6 bps). The spike on the 9-month pillar (+18 bps) mostly reflects the low level of issuance.
   

November 2020

Evolution of stocks

• Bank NEU CP: outstanding amounts decrease slows down (-9.5% after -12.9% in October and -2.2% a year ago).
• Corporate NEU CP: outstanding amounts keep increasing (+ 20.7% after + 15.4% in October and + 8.8% a year ago).

Average rates and durations at issuance

• Bank NEU CP: Average monthly rates for issues in euros are stable, at historically low levels for pillars with maturities greater than 3 months. Volume of issues increases strongly over shortest initial maturities (1-3 days) and slightly over initial intermediate maturities (3-month and 6-month).
• Corporate NEU CP: Average monthly rates for issues in euros are down on short maturities (-4 bps over one month) and stable on other maturities.

October 2020

Evolution of stocks

• Bank NEU CP: outstanding amounts stabilizes (-13% after -13.3% in August, and 0% a year ago).
• Corporate NEU CP: outstanding amounts are rising again (+ 15.4%, after + 12.3% in August and + 7.6% a year ago).

Average rates and durations at issuance

• Bank NEU CP: average rates decreases slightly on the 9 and 12-month pillars and return to normal over the 6-month period. The most frequent issuance terms remain unchanged and concern short maturities (1 to 3 days) and long (12 months).
• Corporate NEU CP: average rates are down on short (-5 bps on 1-month) and intermediate maturities (-10 bps on the 3 and 6 month pillars) but are increasing on the 9-month pillar (+10 bps).

September 2020

Evolution of stocks

• Bank NEU CP: slight acceleration in the contraction of outstanding amounts (-13.5% year on year, after -11.5% in August and + 1.7% a year ago).
• Corporate NEU CP: outstanding amounts evolution remains positive (+ 12.2%, after + 9% in August and + 7.7% a year ago).

Average rates and durations at issuance

• Average rates are trending downward for bank NEU CPs on all maturities (except 6 months). The trend is more heterogeneous for the NEU CP Corporate (lower rates except for the 3 and 6 month maturities).
• Distribution of issuance reflects the usual strategy of issuers: volumes are concentrated on the 1 to 3 days and 12 months pillars of maturity for bank securities, whereas corporate issuance is focused on 1 and 3 months (with an increase over the 6 months compared to usual levels).

August 2020

July 2020

June 2020

May 2020

April 2020

March 2020

February 2020

January 2020