CREDIT MARKETS

Treasuries:
Treasury prices soared Wednesday, sending yields plummeting by the largest amount since 1987 after the Federal Reserve surprised bond investors by saying it would buy $300 billion in longer-term Treasury securities over the next six months. The Fed also increased how much agency-backed debt and mortgage-backed securities it would purchase “to help improve conditions in private credit markets,” the central bankers said in a statement following the meeting. In a separate release, the Fed said it will start buying Treasuries from the market late next week. The central bank also said it will consider expanding the Term Asset-Backed Securities Loan Facility to include “other financial assets”. The difference between two and ten year Treasury note yields narrowed 27 basis points to 1.71 percentage points, the most in at least 25 years, after the central bank the purchases will be concentrated among those securities. Economic news for tomorrow will highlight initial jobless claims and leading indicators.

Commentary/New Issues

Corporate:
$2.50 BLN, Shell Int’l Finance, 4.00%, 3/21/14, Aa1/AA+, +210bp
$450 MM, Duke Energy Indana, 6.45%, 4/1/39, A3/A, +270bp
$450 MM, Duke Energy Ohio, 5.45%, 4/1/19, A3/A, +250bp

ABS:
(talk) $2.95 BLN, FORDO 2009-A, ABS

Agency:
Nothing

New Issues larger than $250mm. The fixed income offerings mentioned above are for informational purposes only. Toussaint Capital Partners, LLC, member NASD/SIPC, and/or its affiliates may be a participant in the offering mentioned and therefore offerings will be subject to availability.
All statistical data is sourced from Bloomberg Financial Markets.