Morning Commentary: Kinder Morgan, Intel market high-grade notes; Intel bonds mixed

By Cristal Cody

Tupelo, Miss., Aug. 3 – Kinder Morgan, Inc. is marketing six-year senior notes on Thursday.

Kinder Morgan Canada Ltd. announced on Thursday that it priced C$200 million of cumulative redeemable five-year rate reset preferred shares with a 5.25% annual dividend.

In other pricing action expected during the session, Intel Corp. is offering 30-year senior notes.

The company’s notes (A1/A+/A+) were mixed in the secondary market over the morning.

Intel’s 2.7% senior notes due June 17, 2024 that priced in June have not been active in the secondary market and were last traded at 99.11 on July 6, a source said.

Intel sold $600 million of the notes on June 13 at 99.987 to yield 2.702% and a spread of Treasuries plus 68 basis points.

The company’s 4.1% senior notes due 2047 that priced in a $1 billion offering on May 8 softened to 104.39 early Thursday from where the bonds last traded in the previous session at 105.12, according to a market source.

The Santa Clara, Calif.-based semiconductor chip maker sold the notes at 99.42 to yield 4.13% and a spread of 110 bps over Treasuries.

In the broader secondary market, trading volume totaled $19.89 billion on Wednesday, up from $17.62 billion on Tuesday and $17.72 billion on Monday, according to Trace.

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