European CDS tighter

European credit spreads tightened marginally on Wednesday, tracking other risk markets, with Asian stocks rebounding on reports of strong manufacturing in China and better-than-expected US consumer confidence data. The primary market has reopened and more deals, including benchmark offerings from riskier companies, are expected to be announced.
German auto parts supplier Continental AG is expected to bring a high yield bond in the coming days, sources said. By 0650 GMT, the investment-grade Markit iTraxx Europe index was at 116.25 basis points, according to data from Markit. That is 0.75 basis points tighter versus late on Tuesday, according to data from BGC Partners. The Markit iTraxx Crossover index, made up of 50 mostly "junk"-rated credits, was at 525 basis points, 5 basis points tighter.