Obbligazioni societarie HIGH YIELD e oltre, verso frontiere inesplorate, vol.3

Panama Bonds Jump as Fiscal Data Damps Risk of Downgrade to Junk
- Panama's sovereign bonds are trading near the highest in about a year due to an improvement in second-quarter fiscal data.
- The improvement in fiscal data has raised the odds of Panama skirting a downgrade to junk, according to Zulfi Ali, a portfolio manager at PGIM Fixed Income.
- Despite the short-term relief, worries linger over Panama's longer-term fiscal and growth outlook, with Barclays' economist Nestor Rodriguez and strategist Jason Keene maintaining a cautious view amid persistent structural issues.
Moody’s Ratings assigns Panama the lowest investment-grade tier with a negative outlook, while S&P Global Ratings cut it to that level in November. Fitch Ratings, meantime, slashed the country to junk over a year ago due to the large fiscal deficit and an eroding revenue base. A cut to speculative grade by two of the three main rating assessors would force investment-grade focused investors to dump the debt.
 
Panama Bonds Jump as Fiscal Data Damps Risk of Downgrade to Junk
- Panama's sovereign bonds are trading near the highest in about a year due to an improvement in second-quarter fiscal data.
- The improvement in fiscal data has raised the odds of Panama skirting a downgrade to junk, according to Zulfi Ali, a portfolio manager at PGIM Fixed Income.
- Despite the short-term relief, worries linger over Panama's longer-term fiscal and growth outlook, with Barclays' economist Nestor Rodriguez and strategist Jason Keene maintaining a cautious view amid persistent structural issues.
Moody’s Ratings assigns Panama the lowest investment-grade tier with a negative outlook, while S&P Global Ratings cut it to that level in November. Fitch Ratings, meantime, slashed the country to junk over a year ago due to the large fiscal deficit and an eroding revenue base. A cut to speculative grade by two of the three main rating assessors would force investment-grade focused investors to dump the debt.
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