Monday Corporate Bond Brief
By Andrew Wilkinson: Treasuries stumbled on Monday in the face of a third-straight charge in equity indices and despite a weaker trend across the tri-state manufacturing sector. Incrementally firmer yields in the government securities market were offset by a mild reduction on corporate names. In the investment grade world, volume was led by financial issues with JPMorgan’s recent 10-year issue leading the most active board with volume of $64mm. Investment Grade
Citigroup Inc. (C)
– Not far behind stood Bank of America where strong demand was evident for one of its shorter maturities. Shares in Bank of America, like most financials, were sharply higher in the afternoon and trading 8% better at $7.75. Its originally two-year issue maturing in August 2012 was bid $1.00 per $1,000 face value better pushing its yield down to around 2.75%. Its spread to treasury securities narrowed by 20 basis points to 274 pips.
Non-Investment Grade – FordComplete Story »