The expected heavy January issuance got off to a solid start last week following zero volume in the last week of December. There was $18 billion of investment-grade issuance, including $6 billion of supra/sovereign debt, making a full-month total in excess of $50 billion easily achievable. The high-yield market has yet to kick start the issuance process for the new year with no corporate deals being launched as yet. At this point the robust calendar is being taken down with ease but we expect that at this pace, spreads will be struggling by month end.
Analysis by CreditSights, Inc., an independent online credit research platform. Call (212) 340-3888 or visit www.CreditSights.com for more information.