Fed’s repo remedy and rate cut leave US corporate bond market perky

Federal Reserve 230px
By David Rothnie
19 Sep 2019

The US corporate bond market shrugged off two market interventions by the Federal Reserve this week — an emergency funding injection and an arguably underwhelming rate cut — as supply picked up on Thursday with trades from Wal-Mart and Volkswagen.

Retailer Wal-Mart, rated Aa2/AA, brought a $1.5bn deal on Thursday via Bank of America Merrill Lynch, Barclays and Citigroup. They tightened pricing by 15bp to launch a $500m 10 year at 60bp over Treasuries and a $1bn 30 year at 80bp. 

German carmaker Volkswagen was in the market with ...

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