| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers F > Headlines for Freddie Mac > News item |
Morning Commentary: Preferreds decline as Yellen speaks to Congress; Just Energy lists on NYSE
By Stephanie N. Rotondo
Seattle, Feb. 14 – The preferred stock market had a slightly weaker tone early Tuesday as Federal Reserve chairman Janet Yellen testified before Congress.
In her testimony, Yellen said that it would be “unwise” to wait too long to further increase interest rates.
“Waiting too long to remove accommodation would be unwise, potentially requiring the FOMC to eventually raise rates rapidly, which could risk disrupting financial markets and pushing the economy into recession,” Yellen said.
The market is not expecting a rate hike in March.
The Wells Fargo Hybrid and Preferred Securities index was down 7 basis points at mid-morning. The U.S. iShares Preferred Stock index was off 13 bps.
In preferred-specific news, Just Energy Group Inc.’s $100 million 8.5% series A fixed-to-floating rate cumulative redeemable perpetual preferred stock listed on the New York Stock Exchange on Tuesday.
The ticker symbol is “JEPrA.”
The deal priced Jan. 30 via Stifel Nicolaus & Co. Inc., FBR Capital Markets and National Bank Financial Inc.
The paper was trading at $24.86 at mid-morning, down from $25.10 at the open.
Meanwhile, Fannie Mae and Freddie Mac paper remained busy. The paper was trending upward in early dealings as the market prepares for the GSEs to release their latest quarterly results later in the week.
Morgan Stanley & Co. Inc. was also on the active side. Its 5.85% series K fixed-to-floating rate noncumulative preferreds (NYSE: MSPrK) were off 5.58 cents to $25.5242, while the 7.125% series E fixed-to-floating rate noncumulative preferreds (NYSE: MSPrE) rose 3 cents to $29.06.
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.