Credit Week in Brief

中文标题

信用周报

OCBC Research09/15/2026updated 10/17/2026

Multiple economies

Citable research brief

Core conclusion · Tlines extraction

Credit spreads were calm and tightened last week even as the UST 1-10Y curve rose by 18-27bps w/w, suggesting the move was a rates shock rather than a credit shock. Asia USD IG OAS narrowed 1bp to 56bps, HY 11bps to 313bps. SGD credit total returns fell 0.18% w/w, with mid to longer tenors leading declines as SORA rose about 12bps.

Institution: OCBC Research
Published: 09/15/2026
Research topic: Natural Gas · Crude Oil (WTI)
Time horizon: long-term · June 2024

Natural Gas · NATGAS Crude Oil (WTI) · WTI

Key arguments

Spreads tightened despite a meaningful UST curve steepening, pointing to a rates-driven rather than credit-driven move.
Asia USD HY outperformed IG on spread change, with HY OAS 11bps tighter versus 1bp for IG.
SGD credit weakness was concentrated in mid and longer tenors amid higher SORA.
Primary markets stayed active, with USD60bn DM and USD12bn Asia issuance last week.

Key numbers

UST 1-10Y curve rise w/w: 18-27bps
Asia USD IG OAS / w/w change: 56bps / -1bp
Asia USD HY OAS / w/w change: 313bps / -11bp
SGD Credit Universe total return w/w: -0.18%
SGD SORA rise w/w: ~12bps

Main risks

Continued UST curve steepening could keep pressuring longer-tenor SGD credit returns.
Issuers may face higher funding costs if rates stay elevated, though no credit stress is evident.
Total returns in mid to longer tenors already show larger drawdowns (-0.67% for >9yr, -0.25% for 3-9yr).

Corresponding source evidence

• Santos Ltd ("STOAU"): STOAU has executed a binding agreement to buy an additional 3.3% participating interest (post State back-in) in PRL15 , the permit covering the Elk and Antelope gas fields in Papua New Guinea, and in the Papua LNG project from TotalEnergies SE ("TTEFP") for ~USD189mn .
• PTT Global Chemical PCL ("PTTGC") / Thai Oil PCL ("TOP"): PTTGC and TOP could benefit as Abu Dhabi National Oil Company reportedly explores investing in PTT group refineries, possibly with long-term crude supply agreements . · long-term
RY's ROE topped 18% with CET1 at 13.5%, BNS hit its 14% ROE target two years early, and TD's ROE of 16% is ahead of target with anti-money laundering remediation on schedule.

Context: the conclusion is Tlines' automated extraction, not the institution's wording. Quoted evidence is publisher wording. Scope and date must travel with the conclusion.

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