The investment grade calendar trickled to just $4.5 billion for the week as the market was still very heavy from the active calendar in March and early April. The pattern of issuance has showed all the signs of late-cycle borrowing, with Yankees (South Africa for $1 billion, Chile for $600 million) accessing the market and the average deal size for the week dropping to just under $350 million, the lowest level since the market turmoil of early February. As is typical of this stage in the borrowing cycle, the high yield calendar has also now heated up, with about 11 junk deals priced for a total new issue volume of $2.5 billion. The weighted average rating for all borrowings for the week was BBB flat, the lowest reading since the onslaught of junk issuance in late 2001.
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