Moody's sees Fed spoiling record US$ sukuk sales

Kuala Lumpur

JUST as Asia enjoys a record quarter for dollar-denominated Islamic bond sales, the US Federal Reserve may be about to spoil the party.

Issuers have taken advantage of global yields below a four-year average to sell US$4.02 billion of the debt since the end of March, bringing 2015's total to US$5.27 billion, data compiled by Bloomberg show. Investors will focus on Friday's US jobs report as a key indicator, with futures currently flagging September as the most likely month for the first Fed interest-rate increase since 2006.