Monday, July 10, 2017

 

Corporate Bond Market

US Equity Futures are mostly higher to start the week with the DJ Futures -12, S&P Futures +1 and NASDAQ Futures +14. The global tone is mixed with overseas equity markets mixed through the overnight. US Treasuries are stronger with yields on the 10yr last at 2.37% and crude oil is down; last quoted $43.75/barrel. Credit is a bit tighter with the Investment Grade Index showing 42.03/45.36 and cash is slightly weaker.

In credit news, last week saw a total of $7.25bn priced in new issue credit. The annual tally in Investment Grade Credit is $893.835b straggling behind 2016 by 3%; stripping sovereigns YTD volume $719.895b, down 7% y/y. There are deals set to price from Nissan, ORIX and NongHyup Bank with more expected to announce. This week is expected to bring at least $20bn. US Bank earning’s season begins Friday with JPM, Citi and Wells Fargo reporting.

In economic data, June’s Labor Market Conditions Index Change will be announced this morning with May’s Consumer Credit this afternoon.