Morning Commentary: Li Auto convertible notes active, lower on quiet morning

By Abigail W. Adams

Portland, Me., June 28 – It was a quiet morning in the convertibles secondary space with few buyers or sellers in the market as the end of the second quarter approaches, a market source said.

Equity markets remained choppy early Tuesday with indexes again wavering between gains and losses early in the session.

The Dow Jones industrial average was up 75 points, or 0.23%, the S&P 500 index was down 0.07%, the Nasdaq Composite index was down 0.63% and the Russell 2000 index was up 0.26% shortly before 11 a.m. ET.

While equities remained volatile, few were making moves in the secondary space with many appearing to ride out the rest of the quarter and close the books on a brutal first half of the year.

There was $45 million in reported volume about one hour into the session with no name seeing more than $5 million in reported volume.

Li Auto Inc.’s 0.25% convertibles due 2028 were active with the notes down outright alongside the Beijing-based electric vehicle manufacturer’s equity.

The 0.25% notes were down 4 points with equity off 3.5%.

The notes were changing hands at 147 versus an equity price of $37.31 early in the session.

There was $3 million in reported volume.

Li’s American Depositary Shares were trading at $37.70, a decrease of 3.5%, shortly before 11 a.m. ET.

© 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.