Market Volatility and Utilities DCM-NO Correlation; Mischler Comments
September 13, 2016   //   by Mischler MarCom   //   Debt Market Commentary  

Quigley’s Corner 09.12.16 Equities Market Volatility and Utilities DCM-NO Correlation

Investment Grade New Issue Re-Cap – Record $1 Trillion Milestone Within Reach
New Historic Volume Record Well Within Reach
Dear “Prudence” – The Beatles, Bonds and the World
Deal Dashboard for Interstate Power & Light Company
Global Market Recap
IG Primary & Secondary Market Talking Points – Little Ole Mischler Financial Lights Up the Leaderboards Today – Two Deals; Two Roles
Syndicate IG Corporate-only Volume Estimates for September
NICs, Bid-to-Covers, Tenors and Sizes
New Issues Priced
Lipper Report/Fund Flows – Week ending September 7th
Investment Grade Credit Spreads (by Rating & Industry
Economic Data Releases
Rates Trading Lab
New Issue Pipeline
M&A Pipeline

This morning a couple bulge bracket firms, one in particular, had a handful of deals waiting to go but alas with futures down 100 points and European equities in the red, issuers and leads felt volatility would rule the day on the heels of Friday’s 394 drop, the market’s lowest since June 24th. Go/No Go calls favored standing down with two exceptions – two domestic utilities, Interstate Power and Light Co. and Southern Company both of which took advantage of their sector’s defensive nature to price two very strong deals in today’s IG dollar DCM. Mischler served as active Co-Manager on Interstate P&L and was an Underwriter on Southern Company’s $25 par 60NC5 Series 2016A Junior Subordinated Notes new issue due 10/01/2076.

The session finished with only those two deals priced totaling $1.2b with a promise from the guy-in-the-corner that tomorrow WILL be a VERY busy day! Still, in only the 7th business day of September including two Friday’s, one of which preceded Labor Day weekend, we’ve already issued over 46% of the syndicate midpoint average forecast for the entire month with 14 business left to go!

Below please find my synopsis of everything Syndicate and Secondary from today’s debt capital markets, including the investment grade corporate bond data drill down as seen from my seat here in Syndicate, Sales and DCM.
Ron Quigley, Managing Director, Head of Fixed Income Syndicate

Above is the opening extract from Quigley’s Corner aka “QC”  Monday Sept 12 2016 Weekend Edition distributed via email to institutional investment managers and Fortune Treasury clients of Mischler Financial Group, the investment industry’s oldest and largest minority broker-dealer owned and operated by Service-Disabled Veterans.

Cited by Wall Street Letter in each of 2014, 2015 and 2016 for “Best Research / Broker-Dealer, the QC observations is one of three distinctive research content pieces produced by Mischler Financial Group. The QC is a daily synopsis of everything Syndicate and Secondary as seen from the perch of our fixed income trading and debt capital markets desk and includes a comprehensive “deep dive” with optics on the day’s investment grade corporate debt new issuance and secondary market data encompassing among other items, comparables, investment grade credit spreads, new issue activity, secondary market most active issues, and upcoming pipeline.

To receive Quigley’s Corner, please contact Ron Quigley, Managing Director and Head of Fixed Income Syndicate via email: or via phone.

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*Sources: Bank of America/Merrill Lynch, Bloomberg, Bond Radar, Dow Jones Newswire, IFR, Informa Global Markets, Internal Mischler, LCDNews, Market News International, Prospect News, Standard & Poor’s Ratings Services, S, Thomson Reuters and of course, a career of sources, contacts, movers and shakers from syndicate desks to accounts; from issuers to originators; from academicians to heads of research, and a host of financial journalists, et al.

Mischler Financial Group’s “U.S. Syndicate Closing Commentary”  is produced weekly by Mischler Financial Group. No part of this document may be reproduced in any manner without the permission of Mischler Financial Group. Although the statements of fact have been obtained from and are based upon sources Mischler Financial Group believes reliable, we do not guarantee their accuracy, and any such information may be incomplete.  All opinions and estimates included in this report are subject to change without notice.  This report is for informational purposes and is not intended as an offer or solicitation with respect to the purchase or sale of any security.   Mischler Financial Group, its affiliates and their respective officers, directors, partners and employees, including persons involved in the preparation of this report, may from time to time maintain a long or short position in, or purchase or sell a position in, hold or act as market-makers or advisors or brokers in relation to the securities (or related securities, financial products, options, warrants, rights, or derivatives), of companies mentioned in this report or be represented on the board of such companies. Neither Mischler Financial Group nor any officer or employee of Mischler Financial Group or any affiliate thereof accepts any liability whatsoever for any direct, indirect or consequential damages or losses arising from any use of this report or its contents.  “Mischler Financial” Group and the Mischler Financial Group