Credit spreads on euro-denominated covered bonds could tighten in the second half of 2026 as the bonds' net supply slows down, UBS global research's Annalaura Capuano says in a note. Covered bonds are debt securities issued by financial institutions and are backed by collateral pool of assets such as mortgages or public-sector loans. Euro covered bonds supply is projected to slow in the second half, after strong issuance in the first six months of 2026, Capuano says. (miriam.mukuru@wsj.com)
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Euro Covered Bond Spreads Could Tighten as Supply Tapers Off — Market Talk
Credit spreads on euro-denominated covered bonds could tighten in the second half of 2026 as the bonds' net supply slows down, UBS global research's Annalaura Capuano says in a note. Covered bonds are debt securities issued by financial institutions and are backed by collateral pool of assets such…