[MIDDAY UPDATE:] No Signs of Stopping
- One borrower announced a deal this morning: Associated Banc-Corp 6nc5 FTF
- The DOW (+198) made a new 52 week high today while the S&P500 (-0.03%) & NASDAQ (-0.59%) are lower
- Treasury yields are mostly unchanged, with the benchmark 10yr yielding 3.801% (UNCH), the long bond yielding 4.101% (+1bp), and the 2yr yielding 3.915% (UNCH)
- Corporate spreads tightened 1bp with the average high grade bond trading 96bp over comparable Treasuries
- Traders in the Fed Funds future market are putting the odds of a 25bp rate cut in September at 67.5% down from 76% last week, with a 50bp cut at 32.5% up from 24% last week
- Durable Goods Orders surprised to the upside, rising 9.9% in July vs expectations of 5%
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2024 HIGH GRADE ISSUANCE - 08/26 WEEK, AUGUST & 2024 ESTIMATES
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| 8/26 WK | LO EST | AVE EST | HI EST | ACTUAL | AUG | LO EST | AVE EST | HI EST | ACTUAL | 2024 | LO EST | AVE EST | HI EST | ACTUAL |
| EX-SSA | $10.0B | $15.0B | $20.0B | $0 | EX-SSA | $110.0B | $105,445 | EX-SSA | $1.275B | $1.350B | $1,114,408 | |||
| OVERALL | $20.0B | $25.0B | $30.0B | $0 | OVERALL | $125,845 | OVERALL | $1.420B | $1.550B | $1,400,958 |
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2024 HIGH GRADE ISSUANCE - 2023 VS 2024 COMPARISON
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| 23-Aug | 08/05 WK | 08/12 WK | 08/19 WK | 08/26 WK | MTD | 23 MTD | 24 YTD | 23 YTD | CHNG | |
| IND | 28850 | 11850 | 13500 | 58450 | 33200 | 347429 | 320870 | 8% | ||
| UTL | 4570 | 1875 | 3250 | 11320 | 2650 | 92420 | 78340 | 18% | ||
| FIG | 11550 | 9875 | 4650 | 29025 | 25650 | 374575 | 246350 | 52% | ||
| Y(I) | 0 | 3650 | 0 | 3650 | 0 | 85184 | 48050 | 77% | ||
| Y(F) | 0 | 1750 | 1250 | 3000 | 5900 | 199170 | 168400 | 18% | ||
| Y(U) | 0 | 0 | 0 | 0 | 0 | 15630 | 11000 | 42% | ||
| SSA | 1000 | 16400 | 16400 | 20400 | 10600 | 286550 | 234350 | 22% | ||
| EX-SSA | 44970 | 29000 | 22650 | 0 | 0 | 105445 | 67400 | 1114408 | 873010 | 27.7% |
| OVERALL | 45970 | 45400 | 39050 | 0 | 0 | 125845 | 78000 | 1400958 | 1107360 | 26.5% |
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2024 HIGH GRADE ISSUANCE - 08/26 CALENDAR
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| AMT | ISSUER | MAT | RATINGS | MGR | TALK |
| 300 (WNG) | ASB | 30 | BAA3/BBB- | RBC | +280 |
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2024 HIGH GRADE ISSUANCE - RECENT MANDATES
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| ANNOUNCED | ISSUER | RATINGS | MGRS | CALL | DEAL |
| 7-Aug | FARMERS INSURANCE | BAA3/BBB+ | BOA/C/JPM/WFS | 7-Aug | 40NC30 SURPLUS NOTES |
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