CREDIT MARKETS

Treasuries:
The difference in yield between Treasury 2- and 10-year notes, known as the yield curve, steepened to a record as reports showed that Philadelphia region manufacturing and U.S. leading indicators rose. The Treasury Department said it will sell $126 billion in notes and bonds next week beginning Feb. 22. The producer price index increased more than forecast last month. The yield curve touched 2.94 percentage points, beating the record high of 2.90 percentage points set Jan. 11. The 10-year note yield advanced seven basis points, or 0.07 percentage point, to 3.80 percent. It reached 3.82 percent, the highest level since Jan. 12. The yield on the 2-year note advanced two basis points to 0.87 percent. It touched 0.88 percent, the highest level since Feb. 11. Economic news for tomorrow: CPI and mortgage delinquencies.

Commentary/New Issues

Corporate:
$200M HANOVER INSURANCE, BAA3/BBB-/BBB- 7.50%, 3/1/20, +375bp

ABS:
Nothing

Agency:
$3BN FHLB, 1.625%, 3/20/13, +26bp

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.