CREDIT MARKETS

Treasuries:
Treasury prices headed for a weekly decline on Friday, as bond traders’ nervousness about the government’s ability to finance its debt overshadowed the Federal Reserve’s presence as a buyer. Treasuries had traded higher with yields in check earlier in the session, before the Fed bought $7.5 billion in notes maturing in two and three years. It was the second such operation undertaken by the U.S. central bank to boost financial markets and lower borrowing rates. Earlier Friday, U.S. debt traded higher as the government said consumer spending rose 0.2% last month, in line with economists’ expectations. A survey by the University of Michigan and Reuters rose to 57.3 from 56.3, according to a media report. The central bank said on march 18 it plans to buy up to $300 billion of U.S. Government debt over the next six months in an effort to cap borrowing costs and stimulate the economy. The notes purchased today mature from April 2011 to April 2012. The Fed’s buyback program has reduced price swings in the Treasury market as policy makers seek to place a ceiling on yields. The main economic news next week will be the non-farm payroll report, economist are predicting that 660,000 jobs were last in March.

Commentary/New Issues

Corporate:
$603.448 MM, Bank of New York Mellon, 6/29/12, Aaa/AAA, +3ML+16bp

ABS:
Nothing

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.