TD Bank taps market; Rabobank, Caterpillar sell add-ons; AT&T tightens; Cisco unchanged

By Aleesia Forni and Cristal Cody

New York, March 31 – Toronto-Dominion Bank, Rabobank and Caterpillar Financial Services Corp. priced bonds on Thursday in what are expected to be the last deals to trickle into the primary this week.

Closing out the first quarter, TD Bank issued $2.25 billion of five-year notes in fixed- and floating-rate pieces. The fixed-rate piece sold around 13.5 basis points inside the midpoint of initial price thoughts.

Rabobank upsized a tap of its existing five-year bonds to $750 million from $500 million.

Also pricing an add-on during the session, Caterpillar Financial issued $450 million of notes in two parts, at the tight side of guidance.

The three financial new issues push the investment-grade primary’s total to $15.98 billion of new issuance for the “sleepy” week, falling in line with earlier predictions.

Looking ahead, issuers are predicted to stay on the sidelines on Friday, with a wealth of data releases scheduled, including March’s jobs report.

Bonds were mixed going into the release of the March jobs report on Friday.

AT&T Inc.’s 4.125% notes due 2026 traded 4 bps better in the secondary market.

Apple Inc.’s 3.25% notes due 2026 firmed 1 bp on Thursday.

Cisco Systems, Inc.’s 2.95% senior notes due 2026 were unchanged.

The Markit CDX North American Investment Grade index closed 1 bp weaker at a spread of 79 bps.

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