APAC Credit Roundup: APAC Cross Regional Credit Weekly, LG Energy Solution, China Overseas Land, Genting Group

Research evidence excerpt

APAC Credit Roundup: APAC Cross Regional Credit Weekly, LG Energy Solution, China Overseas Land, Genting Group

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seasonal lull in issuance. However, this temporary headwind should ease as issuance EM, Economic and Policy Research

slows into the July 4 holiday and then remain quiet as we enter earnings blackout until Mahmoud Harb

banks begin reporting on July 14, while demand should pick up around month-end/ (65) 6882-1640

quarter-end as it typically does. Our US research team sees a more structural headwind mahmoud.harb@jpmorgan.com

JPMorgan Chase Bank, N.A., Singapore Branch

from the flattening in the US Treasury curve, driven by rising front-end yields, which

Emerging Markets Strategyis leading to steeper spread curves, particularly in the belly.

Fariha R Ahmmed AC

Our US team highlighted that Tech vs Energy spread relative value is at an extreme, (44-20) 7134-8537

with the spread differential currently at +10bp, the widest on a sustained basis since fariha.ahmmed@jpmorgan.com

March 2003. This spread gap has widened rapidly since October 2025, given the J.P. Morgan Securities plc

deluge in AI-related issuance that drove Tech spread widening, followed by the recent

outperformance of Energy amid higher oil prices that are now reversing. Looking

For key risks and catalysts not alreadyahead, the team sees limited scope for further Tech underperformance relative to

described in this report, please refer to theEnergy, as 2Q earnings are likely to be strong again and supply should lighten around

earnings. Meanwhile, Energy spreads have room to widen moderately, in line with most recent Emerging Markets Corporate

sharply lower oil prices. Additionally, based on the regression analysis, the team Coverage Report.