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Issuers happy or forced to wait out sovereign storm
Benchmark supply is expected to be thin on the ground this week, even though some institutions have concluded preparations for covered bond issuance. But while blackouts and an unpredictable sovereign market might stymie euro supply, bankers have not ruled out shorter dated issuance from core jurisdictions.

Downgraded issuers less able to support covered
Moody’s highlighted in a report yesterday (Thursday) that downgrades to covered bond issuers’ ratings mean that fewer of them will be able to prevent cuts to their covered bond ratings by adding collateral to cover pools.
WestLB Pfandbriefe affirmed, but walk S&P tightrope
Standard & Poor’s yesterday (Thursday) affirmed its AAA ratings of Dexia Municipal Agency’s obligations foncières and WestLB’s public sector Pfandbriefe. However, WestLB’s Pfandbriefe would lose their triple-A rating if the issuer were downgraded by one notch.

ECB primary market buys hit new high in January
The European Central Bank in January bought more covered bonds in the primary market than in any other month of its Eu60bn purchase programme, according to its latest monthly report on the scheme released yesterday (Thursday).

Data corner: all benchmarks
These charts and tables provide an overview of all benchmark covered bond issuance in January 2010, breaking down total supply by country and maturity, and comparing this month’s volumes with those of previous months and years.
Data corner: all covered bonds
These charts and tables provide an overview of covered bond issuance in January 2010, breaking down total supply by country, currency, and maturity, and comparing this month’s volumes with those of previous months and years.

Long SG an attractive proposition despite volatility
Société Générale SCF yesterday (Wednesday) priced the tightest 12 year benchmark covered bond since the onset of the financial crisis, a transaction that a lead syndicate official said showed good demand for strong names and jurisdictions despite volatility in parts of the sovereign market.

Swiftly executed SG 12 year breaks the ice
Société Générale SCF has closed the order books on a 12 year public sector benchmark that will be priced later today (Wednesday), becoming the first issuer to sell a deal this week as blackout periods and challenging market conditions have kept others at bay.

UBS promotes Peter, aims for top five spot
UBS has appointed Armin Peter head of EMEA covered bonds, debt capital markets, and declared an ambition to be among the top five banks in the business within two years.

The Cover’s Deal of the Decade: a sign of the times
You voted in your hundreds. Now find out which benchmark transaction of 2000-2009 has won the title of The Cover’s Deal of the Decade.

Season’s Greetings from The Cover: a video message
We are delighted to be able to bring you exclusively the premiere of Jean-Luc Covered’s seasonal short film, “Do you believe in Father Christmas?”, starring The Cover’s man of the year. (This video requires YouTube streaming and sound.)