Nordea attracted over Eu4.5bn of demand for a “blowout” Eu750m (Skr7bn) 10 year non-call five Tier 2 issue on Monday that bankers said showed the market is wide open, but expectations for further supply next week are modest after only one Tier 2 deal followed.

Swedbank priced an inaugural Australian dollar bond on Wednesday, a A$390m (Eu252m, Skr2.36bn) issue split into a A$325m three year FRN and a A$65m 10 year fixed rate tranche, which an official at the issuer said offered diversification and attractive funding.

Nordea Bank Finland reopened the market on Monday alongside Bank of Ireland as euro covered bond supply picked up to reach Eu6bn and seven deals this week on the back of improving appetite from investors.

The euro covered bond market was quiet this week, with only one benchmark issued, but bankers are optimistic that successful deals will be done next week after sentiment improved and spreads tightened and with a handful of issuers, including Eika Boligkreditt, having been on the road.

Swedish Covered Bond Corporation (SCBC) adjusted its pricing expectations in the face of a widening market when printing a Eu750m five year covered bond on Monday, according to an official at the issuer, who said the outcome was a strong result in difficult conditions.

Swedbank exceeded expectations with a covered bond on Tuesday after SR-Boligkreditt sold a well-received debut on Monday, and the Nordic issues were identified as being among the strongest results during a busy week in which spreads widened and many deals struggled to find demand.

Sparebanken Vest found conditions challenging when executing a Eu500m five year covered bond on Tuesday and paid more than expected, according to an official at the bank, but he said the issuer moved early as it is not clear the market will improve in the coming weeks.

Svenska Handelsbanken sold a ¥66.8bn (Skr4.67bn, Eu496m) three tranche Samurai last Friday (28 September) in its third visit to the Japanese market in three years and against a volatile market backdrop.

Swedbank launched the first Nordic senior unsecured euro benchmark since May on Tuesday, taking advantage of a quiet market to print a Eu500m five year floating rate note, but bankers predicted that euro benchmark supply would remain slim in the summer holiday season.

With the market entering the middle of the continental European summer lull, benchmark covered bond or senior supply is unlikely to resume until after next week at the earliest despite generally supportive conditions, according to syndicate bankers, with Nordic issuers expected to wait until the investor base returns to the office.