Saudi Arabia, Wells Fargo, Morgan Stanley price; bank, financial paper mixed; Nike firms

By Cristal Cody

Eureka Springs, Ark., Oct. 19 – Several U.S. issuers priced high-grade deals over Wednesday’s session with the bulk of the market’s attention focused on Saudi Arabia’s $17.5 billion three-tranche notes offering.

Wells Fargo & Co. priced $3.5 billion of 10-year senior notes on Wednesday following the deal’s delay on Tuesday.

S&P announced on Tuesday that it revised its outlook on the company to negative from stable based on concerns of fallout from the company’s September news reports of retail accounts misconduct.

Morgan Stanley sold $2.5 billion of seven-year senior floating-rate notes at par on Wednesday.

Bank and financial paper was expected to make up a chunk of the $25 billion of supply estimated for the week.

Also on Wednesday, United Parcel Service, Inc. tapped the high-grade primary market with a $1 billion offering of 10- and 30-year senior notes.

Morgan Stanley’s existing 10-year paper traded 2 basis points to 5 bps weaker on Wednesday.

Wells Fargo’s existing notes traded flat to about 4 bps tighter over the day, a source said.

In earlier secondary trading, Bank of America Corp.’s senior notes (Baa1/BBB+/A) brought to market on Tuesday traded about 1 bps to 5 bps better on Wednesday.

Nike, Inc.’s $1.5 billion of notes (A1/AA-/) priced in two tranches on Tuesday traded about 2 bps tighter.

The Markit CDX North American Investment Grade index tightened 1 bp over the day to end at a spread of 74 bps.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.