CREDIT MARKETS

Treasuries:
Treasury two-year note yields touched the lowest level this year on concern the rally in risky assets has outpaced growth prospects and as Federal Reserve officials signaled interest rates will stay low. Longer-maturity yields rose. Three-month bill rates turned negative on Friday for the first time since last year’s credit freeze as the 62 percent rally in the Standard & Poor’s 500 Index from a 12-year low in March pushed valuations to about 22 times its companies’ reported earnings, the highest level since 2002. Two-year Treasuries headed for the biggest weekly gain this month amid speculation financial institutions are buying the safest assets to improve balance-sheet quality as 2009 draws to a close. The two-year Treasury note yield touched 0.67 percent, the lowest level since December. It fell nine basis points on the week, the most since the five days ended Oct. 30, to 0.72 percent. The three-month bill rate was 0.005 percent, down five basis points for the week. The 10-year yield fell six basis points to 3.36 percent. Economic news: Existing Home Sales, GDP, Consumer Confidence, Personal Spending, Durable Goods Orders, Initial Jobless Claims.

Commentary/New Issues

Corporate:
$7B, ROYAL BANK OF SCOTLAND, AAA/AAA: $2B, 1.50%, 3/30/12, +80.5bp; $5B, FLOAT, 3/30/12, 3ML+26
$1.25B, TD AMERITRADE, 3-PT (3S,5S & 10S), BAA1/BBB+/BBB+, $250M, 2.95 %, 12/1/12, +175bp; $500M, 4.15%, 12/1/14, +200bp; $500M 5.60%, 12/1/19, +225bp
$5B, CDP FINANCIAL, 3-PT (5S, 10S & 30S) AAA/AAA, $2B, 3.00 %, 11/25/14, +83bp; $1.75B, 4.40%, 11/25/19, +105bp; $1.25B, 5.60%, 11/25/39, +130bp
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.