| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers Review > Headlines for 2018 > News item |
Morning Commentary: Primary market action quiet; high-grade inflows decline over week
By Cristal Cody
Tupelo, Miss., July 27 – High-grade primary action quieted on Friday following more than $20 billion of volume week to date with no reported issuers marketing bonds.
Supply came in on the low end of syndicate forecasts of about $20 billion to $25 billion of new issuance.
Fifth Third Bank priced the largest corporate deal of the week with a $1.55 billion three-part offering of senior notes that priced on Monday.
Elsewhere, high-grade inflows declined over the week.
For the week ended July 26, Lipper US Fund Flows reported inflows of $1.99 billion for corporate investment-grade funds, down slightly from $2.02 billion of reported inflows in the previous week.
Flows to bonds weakened across most sectors, except junk, according to a BofA Merrill Lynch note released on Friday.
Inflows to the high-grade space, which includes corporates, agencies, mortgages and Treasuries, declined to $1.61 billion from $2.34 billion in the previous week, BofA Merrill Lynch analyst Yuri Seliger said in the note.
“The entire decline was due to short-term funds and ETFs,” Seliger said.
Those inflows fell to $690 million from $1.42 billion, he said.
High-grade inflows outside of short-term were flat for a third week straight at $910 million.
Investment-grade inflows were lower for funds, to $1.46 billion from $1.83 billion, and ETFs, to $150 million from $500 million, Seliger said.
Looking at the high-grade secondary market, $18.44 billion of bonds traded on Thursday, compared to $18.96 billion on Wednesday, $21.43 billion on Tuesday and $15.4 billion on Monday, according to Trace.
© 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.