Covered bonds rise in investor favor

Credit Markets Weekly , 7. Mai
Although risk premiums in the senior segment are now slightly below the highs seen at the beginning of April, they are still well above the relatively low levels prevailing in mid-February.

Covered bonds have recently benefited from increased risk aversion in the market. The yield spread between senior bonds and covered bonds widened significantly despite a reversal in recent weeks.

No interest rate cut expected from the US Fed