AT&T preferreds down as trial progresses; Barclays up along with overall market

By James McCandless

San Antonio, April 17 – Preferred stock traders reported an uptick in activity on Tuesday after Monday’s sluggish market.

AT&T Inc.’s preferreds slid as its antitrust trial continues.

Barclays plc’s preferreds rose as the company indicated an interest in cryptocurrencies.

Allstate Corp.’s recent $500 million issue of $25-par 5.625% series G perpetual preferred shares and its series B preferreds were mixed on the day.

AT&T down

AT&T’s preferreds were down on Tuesday as more developments emerge from its antitrust trial against the Department of Justice over the company’s attempted merger with Time Warner. The CEOs of both companies will testify in favor of the merger this week.

On Tuesday, AT&T subsidiary DirecTV asked to be dropped from the suit after the government included it in hopes of using executive testimony over past mergers.

The preferreds, with 194,000 shares changing hands, dropped 3 cents to $25.04.

Barclays up

Barclays saw preferreds up on the day, more than doubling its average volume with 316,000 shares traded.

On Tuesday, the company signaled a potential move to begin trading in cryptocurrencies.

“They have been looking for a new strategy for growth for a while now,” a trader said. “This is probably not the sole focus of it, but it’s getting the most attention.”

The series D preferreds were up 3 cents to close at $26.15.

Allstate mixed

Allstate’s recent $500 million pricing of $25-par series G perpetual preferred shares fell, with 181,000 shares moving throughout the day. The series B preferreds saw about 51,000 shares move.

The series G preferreds lost 5 cents to close at $25.30. The series B preferreds traded up 15 cents to $25.76.

Indexes up

The Wells Fargo Hybrid & Preferred Securities Financial index closed up 0.13%, reversing an early morning decline of 0.03%.

The iShares US Preferred Stock ETF closed up 6 cents to end at $37.30.

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