Dollar borrowers freeze as turmoil rages

By David Rothnie
16 Oct 2014

The US high-grade bond market was all but closed to new issuance this week as plummeting Treasury yields sent borrowers scampering to the sidelines. The 10 year note had its biggest intraday swing in six years on Wednesday as it fell as low as 1.86%, the lowest since May 2013, before rebounding to around 2.10%.

Bankers say there continues to be technical bid for high-grade and the strong rally in US Treasuries makes high-grade look a more attractive flight to quality trade. But with General Mills the only corporate name to come to the market, it appeared in effect ...

Already a subscriber?

Continue reading this article

Try full access to GlobalCapital

Free trial