CREDIT MARKETS

Treasuries:
Treasury two-year notes fell, pushing their yield to a one-week high, as traders speculated a U.S. report on payrolls today may show the economy lost fewer jobs than forecast. Two-year yields rose for a second day as investor concern eased about Greece’s ability to cut its budget deficit. Data showed U.S. productivity gained and jobless claims dropped. The Treasury said it will sell $74 billion in notes and bonds next week, and St. Louis Federal Reserve Bank President James Bullard said the Fed’s monetary stimulus is appropriate with the U.S. economy in the early period of a recovery. Two-year note yields increased five basis points to 0.85 percent. They touched 0.87 percent, the highest level since Feb. 25. The benchmark 10-year note yield fell two basis points to 3.60 percent, reversing an earlier increase. It reached 3.58 percent on Feb. 26, the lowest level since Feb. 9. The yield difference between 2- and 10-year notes touched 2.74 percentage points, the narrowest since Feb. 5. Economic news for tomorrow will focus on nonfarm payroll and the unemployment rate.

Commentary/New Issues
Corporate:
$600M BAXTER INT’L 2-PT A3/A+ $300M 1.80% 3/15/13 +50bp; $300M 4.25% 3/15/20 +70bp
$500M JOHNSON CONTROLS BAA2/BBB 5.00% 3/30/20 +145bp
$550M TECO FINANCE 2-PT BAA3/BBB- $250M 4.00% 3/15/16 +180bp; $300M 5.15% 3/15/20 +160bp

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.