United States

Lockheed Martin led a busy week for US high grade issuance

Foreign investment in Israel ground to a halt when the war with Hamas began in October

◆ JPM, WF and MS break single day self-led FIG record with $23bn funding ◆ BofA prepares $5bn Thursday deal as GS and Citi’s anticipated supply expected to break January record ◆ BFCM’s $1bn is sole FIG Yankee

Three aircraft leasing companies and US Reit Prologis were among the supply this week

◆ Foreign quartet prices $9.25bn across the capital stack in three days ◆ SocGen joins the post-CPI flow on Thursday ◆ US money-center banks expected to unleash issuance after earnings

Issuers take in small concessions and big books, as bankers ask after long maturity trades

◆ European banks lead issuance with focus on senior funding ◆ Market wobbles prove funding more challenging than expected ◆ Foreign banks’ capital raising is one prominent feature

Volatile market proves little obstacle for long maturity funding

Higher rates and rallying equities drew US companies back to the asset class

◆ Rate cut expectations raise appeal of bank debt ◆ NBC and Ally Financial push annual issuance to $593bn ◆ Yankee and US regional banks expected to lift supply in 2024

Dovish guidance from the Federal Reserve has boosted the US high grade market

Issuance is expected to slow ahead of the last Fed meeting of 2023