Lebanon 5-year CDS Drop, Dollar Bonds Gain after Cabinet Approves Budget

  • Economics
Lebanon 5-year CDS Drop, Dollar Bonds Gain after Cabinet Approves Budget

The cost of insuring exposure to Lebanon's sovereign debt fell on Tuesday while the country's dollar bonds rose after the government approved a 2019 budget with deep spending cuts.

Five-year credit default swaps slipped 23 basis points (bps) from Monday's close to 847 bps, according to IHS Markit data.

Lebanon's November 2019 dollar-denominated issue rose more than 0.7 cents in the dollar, while the March 2020 issue gained some 0.6 cents, according to Refinitiv data.

 

Source: Reuters