Post Labor Day pipeline eyed; Tenet bounces off lows; Teva drops; Goodyear Tire rises

By Paul A. Harris and Abigail W. Adams

Portland, Me., Aug. 13 – The domestic high-yield primary market was quiet on Tuesday with no deals pricing or joining the forward calendar.

While the dog days of August may have descended upon the primary market, sources were eyeing a healthy pipeline of merger and acquisition financing deals that are expected to materialize in the second half of the year.

Meanwhile, the secondary space screamed higher on Tuesday with the market lifted by news of a thawing in trade tensions between the U.S. and China.

Tenet Healthcare Corp.’s newly priced tranches of senior notes (Ba3/BB-) were in focus with the notes initially trading below par only to bounce off their lows and close the day with a slight premium, according to a market source.

Goodyear Tire & Rubber Co.’s 5% senior notes due 2026 were on the rise alongside other high beta trade-related names.

While the overall market was up, not all sectors shared in the gains with the energy and pharmaceutical space weak, a market source said.

While the notes rallied off their intraday lows, Teva Pharmaceutical Industries Ltd.’s junk bonds still closed the day with losses.

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