Swedish Export Credit new issue caps off week; Xerox tight; Deutsche Bank mostly unchanged

By Aleesia Forni and Cristal Cody

Virginia Beach, Aug. 21 – Swedish Export Credit Corp. priced a $1 billion offering of five-year notes on Friday, closing out a quiet week for investment-grade bonds.

Pricing was at 99.819 to yield 1.788%.

The issue sold in line with price guidance.

Roughly $8.3 billion of new high-grade issuance hit the primary this week, with the bulk of that total coming to market on Monday.

Meantime, corporate investment-grade bond funds saw their fourth-straight week of outflows.

This week’s $1.1 billion of outflows follows last week’s outflows of $1.84 billion and brings the year-to-date total to $25.1 billion of inflows.

Most of the market spent the day “watching stocks drop, not much interest in bonds,” one source said.

Xerox Corp.’s 3.5% senior notes due 2020 that priced at the start of the week remained more than 10 basis points tighter in secondary trading going out on Friday.

Deutsche Bank AG’s new 2.95% notes due 2020 traded mostly unchanged.

Hershey Co.’s 3.2% notes due 2025 were not active in secondary trading over the session but continue to trade better than issuance.

The Markit CDX North American Investment Grade index widened 2 bps over the day to a spread of 83 bps.

© 2015 Prospect News.
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