Borr, Cetera join calendar; junk reverses, closes with gains; Venture rises; Hess jumps

By Paul A. Harris and Abigail W. Adams

Portland, Me., Oct. 23 – Although no deals priced, Monday’s session had two sizable junk bond deals announced.

The deals, from Borr Drilling and Cetera Financial Group Inc., are set to price by midweek.

Meanwhile, it was a topsy-turvy day in the secondary space as Treasuries had wild swings after the 10-year Treasury yield crossed the 5% threshold.

Then Pershing Square Capital chief executive officer Bill Ackman announced he had covered his short position in Treasuries.

The announcement sparked a surge in Treasuries as others followed Ackman’s lead and covered their short positions.

The cash bond market shook off its losses to close the day with an 1/8 to ¼ point gain while the CDX index added 3/8 point, a source said.

Venture Global LNG Inc.’s recently priced senior secured notes (B1/BB/BB) followed the trajectory of the broader market.

In older issues, Hess Midstream Partners LP’s senior notes (Ba2/BB+) jumped 2 to 3 points following news Chevron Corp. was acquiring parent company Hess in an all-stock transaction.

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