3 May 2023

US Dollar Credit Supply: Very low year-to-date supply for financials

USD supply was rather low in April, but we expect an increase in May. Meanwhile, financials are now running significantly behind previous years on a year-to-date basis. There could be more opportunities for reverse yankee supply, as the USD-EUR spread differential widens

Executive summary

Corporate supply in April was rather low, amounting to US$27bn, down compared to US$45bn in April last year. However, we do expect an increase in supply in May, as is the norm. With US$52bn in redemptions in April, corporate net supply was negative at -US$25bn. However, on a year-to-date basis, supply is sitting at US$273bn which is still higher than the 2022 YTD level of US$251bn and in line with the 2021 YTD level of US$273. 

Content Disclaimer
This publication has been prepared by ING solely for information purposes irrespective of a particular user's means, financial situation or investment objectives. The information does not constitute investment recommendation, and nor is it investment, legal or tax advice or an offer or solicitation to purchase or sell any financial instrument. Read more