Jobs data keeps high-grade issuance at bay; MUFG, Goldman Sachs firm; Morgan Stanley steady

By Aleesia Forni and Cristal Cody

New York, April 1 – Market activity was slim in the high-grade space to close out the week on Friday.

Players were focused on the release of March’s stronger-than-anticipated jobs data.

The Labor Department reported that the economy added 215,000 jobs during the month of March.

In total, the high-grade primary market logged around $15.98 billion of new issuance to end the quarter this week and wrapped up a month of March that saw more than $142 billion of new investment-grade issuance.

Meantime, Lipper US Funds Flows reported around $211 million of inflows into the asset class for the week ended March 30, bringing the year-to-date total to around $519 million of outflows, according to a market source.

The figure follows last week’s $1.3 billion inflows total.

Investment-grade bank and financial paper traded flat to tighter over the day.

The Markit CDX North American Investment Grade index tightened 4 bps to close at a spread of 75 bps.

MUFG stronger

Mitsubishi UFJ Financial Group, Inc.’s new 3.85% notes due 2026 firmed 9 basis points on Friday to 150 bps bid, according to a market source.

The company sold $2.5 billion of the notes (A1/A) on Feb. 23 at Treasuries plus 215 bps.

The financial services company is based in Tokyo.

Goldman Sachs trades

Goldman Sachs Group, Inc.’s 3.75% notes due 2026 tightened 5 bps in secondary trading to 163 bps bid, a market source said.

Goldman Sachs sold $1.75 billion of the notes (A3/BBB+/A) on Feb. 22 at a spread of Treasuries plus 203 bps.

The financial services company is based in New York City.

Morgan Stanley flat

Morgan Stanley’s 3.875% notes due 2026 were flat on the day at 157 bps bid, a market source said.

Morgan Stanley sold $3 billion of the notes (A3/BBB+/A) on Jan. 22 at 185 bps plus Treasuries.

The financial services company is based in New York City.

Apple eases

Apple Inc.’s 3.25% bonds due 2026 eased 1 bp on Friday to 96 bps bid, a market source said.

The company sold $1.25 billion of the notes in a March 17 add-on at a spread of Treasuries plus 100 bps.

Apple originally priced $2 billion of the notes on Feb. 16 at 150 bps plus Treasuries.

The computer and mobile communications device company is based in Cupertino, Calif.

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