RISK-OFF SENTIMENT PREVAILED as investment grade debt rose against junk bonds in net prices linked to actual trades. Jobless claims fell to a seasonally adjusted 211,000 claims surpassing expectations; managers continue to struggle with employee retention and sourcing skilled labor. In other economic news, new home sales declined across the country in all regions except the Northeast sinking 6.9 percent. The 10-year note plunged 7 basis points settling near 18-month lows. S&P -1.19%,DOW -1.11%, NASDAQ -1.58%.
|Key Gainers and Losers||Volume Leaders|
|General Electric Co. FLT% PERP (1)
Enterprise Products Partners LP 3.35% 3/15/2023
|Industry Returns Tracker|
|New Issues||New Issues [Continued]|
1. Suzano Austria GmbH (USD) 5% 1/15/2030 144A (05/22/2019):1000MM Senior Unsecured Notes, Price at Issuance 98.533, Yielding 5.18%.
2. Consumers Energy Co. (USD) 3.75% 2/15/2050 (05/22/2019):300MM Secured Notes, Price at Issuance 98.834, Yielding 3.81%.
|Top Widening Credit Default Swaps (CDS)||Top Narrowing Credit Default Swaps (CDS)|
|Rite Aid Corp. (5Y Sen USD XR14)
Weatherford International LTD (5Y Sen USD MR14)
|Cable & Wireless Communication (5Y Sen USD CR14)
Atmos Energy Corp. (5Y Sen USD MR14)
Loans and Credit Market OverviewSYNDICATED LOANS HIGHLIGHTS:
Deals recently freed for secondary trading, notable secondary activity:
- Service Corp. Intl., Lucid Energy Group LLC, Southern California Edison Co.
- TED spread held below 16 bp (basis points), as of 05/23/19
- Net positive capital flows into high-yield ETFs & mutual funds
Copyright 2019 Advantage Data Inc. All Rights Reserved. http://www.advantagedata.com
Information in this document should not be regarded as an offer to sell or solicitation of an offer to buy bonds or any financial instruments referred to herein. All information provided in this document is believed to be accurate. However, Advantage Data and its sources make no warranties, either express or implied, as to any matter whatsoever, including but not limited to warranties of merchantability or fitness for a particular purpose. Opinions in this document are subject to change without notice. Electronic redistribution, photocopying and any other electronic or mechanical reproduction is strictly prohibited without prior written permission from Advantage Data Inc.