Asia RV Checkpoint
摘要： Inthiscommentary,weprovideanupdateonhowthe10y/30yCashcurveshaveperformedduringtherecentbullishepisod
In this commentary, we provide an update on how the10y/30y Cash curves have performed during therecent bullish episode in EM.
Amongst Indonesia’s quasi-sov credits, all curveshave flattened in line with $ sovereign bonds, withPERTIJ (2023 vs. 2044) being the only exception.
Considering that markets remain supportive for EM asa US June rate hike risk further subsides, we believethe PERTIJ curve will flatten as the level looksattractive in both absolute and relative terms.
Moreover, in the wider EM sovereign space, INDON$ curves have flattened whilst its CEEMEA peersTURKEY and SOAF have all steepened - the INDONcurves look quite flat in our view.
New recommendations this week:- PERTIJ $ 23/44 flattener (at DV01-neutral format)
Inthiscommentary,weprovideanupdateonhowthe10y,30,yCashcurveshaveperformedduringtherecentbullishep,AmongstIndonesia
