Lively primary brings week’s supply to over $33 billion; Morgan Stanley firms; Lowe’s flat

By Aleesia Forni and Cristal Cody

Virginia Beach, Sept. 3 – The investment-grade primary market showed no signs of a slowdown on Wednesday following Tuesday’s onslaught of issuance.

Another packed primary session brought the week’s total to more than $33 billion of new issuance, already topping expectations of $20 billion to $25 billion.

Financial names made another strong showing on Wednesday, with Landwirtschaftliche Rentenbank, Bank Nederlandse Gemeenten NV, Ford Motor Credit Co. and Morgan Stanley & Co. Inc. pricing new deals.

JPMorgan Chase & Co., Abbey National Treasury and Standard Chartered also brought new issues to the primary market, though details of the sales were unavailable at press time.

The session also saw new deals from Simon Property Group LP, Camden Property Trust, Lowe’s Cos. Inc. and Marsh & McLennan Cos., Inc.

In forward calendar news, California Resources Corp. is planning to price a $5 billion issue of notes to fund an acquisition, while Fannie Mae announced price talk on Wednesday for a 10-year issue of Benchmark Notes.

Even with the deluge of new issuance the primary market has seen this week, one source noted that the market has shown “basically no signs” of fatigue.

In the secondary market, Morgan Stanley’s new subordinated notes tightened more than 5 basis points, a trader noted.

Lowe’s notes headed out wrapped around issuance in aftermarket trading, a trader said.

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