Midday Commentary: High-grade bonds tighter in early trade; MetLife, Bank of America firm

By Cristal Cody

Tupelo, Miss., April 9 - Bonds in the investment-grade market edged tighter in early trading in front of the release of minutes from the Federal Reserve's March policy meeting, according to informed sources on Wednesday.

MetLife Inc.'s 3.6% senior notes due 2024 traded about 1 basis point tighter, a source said.

Bank of America Corp.'s 4% senior notes due 2024 recovered slightly after easing on Tuesday, according to a market source.

The Markit CDX North American Investment Grade series 22 index closed unchanged on Tuesday at a spread of 68 bps.

MetLife firms

MetLife's 3.6% notes due 2024 firmed 1 bp to 88 bps bid, according to a market source on Wednesday.

The notes (A3/A-/A-) traded on Monday at 89 bps bid, 87 bps offered in the secondary market.

MetLife sold $1 billion of the notes at a spread of Treasuries plus 90 bps.

The insurance and employee benefits company is based in New York City.

Bank of America better

Bank of America's 4% notes due 2024 (Baa2/A-/A) firmed 2 bps to 118 bps offered, a source said.

The company sold $2.75 billion of the notes on March 27 at 137 bps over Treasuries.

Bank of America is a financial services company based in Charlotte, N.C.

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