CIBC is set to return to the Kangaroo market with a five year covered bond that could emerge as soon as tomorrow (Thursday), while Yorkshire Building Society has entered the euro pipeline after having mandated for a roadshow beginning next week.

CIBC has mandated HSBC, NAB and UBS as leads for the five year Australian dollar issue.

The Canadian bank’s last Australian dollar benchmark was a A$500m (Eu349m, C$480m) five year deal in October 2013. The new issue will be CIBC’s third benchmark covered bond of the year, following a £500m (Eu692m, C$952) three year and a Eu1bn (C$1.38bn) five year, which were both sold in January.

The last Kangaroo from a Canadian issuer was a A$600m five year in mid-January from Bank of Nova Scotia. That floating rate note was priced at 65bp over three month BBSW and, according to a market participant, was trading at 62bp-63bp over in the secondary market this week.

Yorkshire Building Society today (Wednesday) announced it will hold a European roadshow commencing next week, with a euro-denominated covered bond to follow, subject to market conditions. Danske, HSBC, Natixis and UniCredit are the leads.

The most recent euro benchmark covered bond from a UK issuer was a Eu1bn seven year from Abbey National Treasury Services that was priced at 1bp over mid-swaps on 14 April. The only other euro benchmark from a UK issuer to be launched this year was a Eu750m 12 year from Nationwide Building Society on 18 March, which was printed at 10bp.

Yorkshire’s last benchmark covered bond was a Eu500m seven year issue in June 2014.

A syndicate official away from Yorkshire’s leads said he expected market conditions to be supportive for the new issue.

“With a fair price they should be able to build a good trade,” he said.

Syndicate officials said they expect no further euro covered bond supply this week, after MünchenerHyp yesterday (Tuesday) sold a Eu750m eight year Pfandbrief. They cited public holidays in some areas of Europe tomorrow (Thursday) and US nonfarm payrolls on Friday, as well as uncertainty arising from a Friday deadline on a Greek repayment to the IMF, as closing the window for new deals.

However, syndicate officials said primary market activity should increase next week, noting that a rise in yields this week should be supportive of new projects. One banker said that issuers from other core jurisdictions would likely be looking at issuing shorter dated deals while yields have risen, in order to fill any maturity gaps.

“From an outright yields perspective, the market feels better,” he added. “Hopefully we will see more issues – not just from Germany, but from other tight regions.”

Another syndicate official said that peripheral issuers would likely steer clear of the market, but suggested that a five year trade from a core name could work if it is fairly priced, if headlines on Greece are positive after the weekend.

“I suspect there will be a cheeky trade or two,” he said.