Morning Commentary: S.C. Johnson bonds stronger in early trading; Hewlett-Packard improves

By Cristal Cody

Tupelo, Miss., Oct. 15 – S.C. Johnson & Son Inc.’s 4.75% senior notes due 2046 brought at the start of the short week traded 3 basis points tighter early Thursday in the secondary market.

Hewlett-Packard Enterprise Co.’s recently issued 4.9% senior notes due 2025 improved modestly but were trading wider than issuance.

Nearly $16 billion of high-grade bonds were traded on Wednesday, up from $13.4 billion traded during Tuesday’s session, according to Trace.

The Markit CDX North American Investment Grade 25 index ended the previous session 1 bp wider at a spread of 85 bps.

S.C. Johnson better

S.C. Johnson & Son’s 4.75% bonds due 2046 were seen 3 bps tighter at 176 bps offered, according to a market source.

The debt had already improved from its pricing level.

The company sold $850 million of the notes (A/A-) on Tuesday at a spread of Treasuries plus 187.5 bps.

The consumer products company is based in Racine, Wis.

Hewlett-Packard improves

Hewlett-Packard Enterprise’s 4.9% notes due 2025 firmed 3 bps to 314 bps offered in the secondary market, a source said.

Hewlett-Packard Enterprise sold $2.5 billion of the notes (Baa2/BBB/A-) on Sept. 30 at Treasuries plus 290 bps.

The Palo Alto, Calif.-based information technology company is a subsidiary of the Hewlett-Packard Co.

© 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.