CREDIT MARKETS

Treasuries:
Treasuries rose for a second day after Federal Reserve officials said they’ll end a $1.45 trillion mortgage-bond purchase program later than scheduled and will keep interest rates at a record low for extended period. Shorter-maturity debt led the gains as central bankers reiterated their pledge to keep rates accommodative, while saying the US economy has started to recover from recession. The yield on the benchmark 10-year note fell five basis points to 3.41 percent. The record $40 billion in five-year notes sold today drew a yield of 2.47 percent, compared with a forecast of 2.463 percent. The bid to cover ratio, was 2.40 compared with an average of 2.23 at the last 10 auctions. The Treasury will sell a record $29 billion today in debt. On the two-year note offered on Tuesday, have declined 8 basis points from the 1.034 percent drawn at the sale.

Commentary/New Issues

Corporate:
$500MM, Nat’l Agricultural Coop Fed, 5.00%, 9/30/14, A2/A, +268bp
$400MM, Vornado Realty, 7.875%, 10/1/39, Baa2/BBB, +7.875bp
$1B, 2-Part: $500MM, 3.75%, 9/30/15, Baa1/A-; +140bp; $500MM, 4.875%, 3/30/20, +150bp
$300M, Arrow Electronics, 6.00%, 4/1/20, BAA3/BBB-, +250bp

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 FINRA/SIPC, and/or its affiliates may be a participant in the offerings mentioned and therefore offerings will be subject to availability.
All statistical data is sourced from Bloomberg Financial Markets.