IADB brings $3 billion; Svensk prices; Time Warner firms; Visa unchanged; McDonald’s eases

By Aleesia Forni and Cristal Cody

New York, Jan. 7 – Swedish Export Credit Corp. and Inter-American Development Bank priced new bond deals on Thursday as stocks tumbled following heightened fears of slower growth in China after the country suspended trading for the second time this week.

Inter-American Development Bank sold a $3 billion issue of global notes in line with talk, and Svensk priced a $550 million offering of floaters.

In light of the volatile market backdrop, most issuers elected to remain on the sidelines during Thursday’s session, continuing what has been “a very rough start to the year,” a market source said.

With a significant new issue pipeline, another market source noted that once the window for issuance presents itself, the high-grade primary market will be flooded with new deals.

Around $32 billion of paper has come to market during the week.

Despite the weaker conditions, the figure has managed to top what was predicted to be $25 billion to $30 billion of new issuance for the week.

Investment-grade bonds were mixed in secondary trading over the day.

The Markit CDX North American Investment Grade 25 index ended 3 bps weaker at a spread of 96 bps.

Time Warner Inc.’s 3.875% notes due 2026 firmed 3 bps on Thursday.

Visa Inc.’s senior notes (A1/A+) remain active in the secondary market but were mostly unchanged.

McDonald’s Corp.’s 3.7% senior notes due 2026 traded 1 bp softer.

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