AMD active, trades ‘in line’ with shares; other newer issues quiet; equity markets rebound

By Rebecca Melvin

New York, Sept. 12 – Advanced Micro Devices Inc.’s 2.125% convertibles continued to trade actively on Monday after the $700 million issue debuted in the market on Friday. The AMD bonds stabilized right around par after some selling pulled it below par and despite a higher price for the common stock that underlies the bond.

“The AMD definitely traded actively, and it was flat, or right about in line,” a New York-based trader said.

AMD dominated the session’s trading action, but otherwise the convertible market was particularly quiet despite a rebound in U.S. equity markets.

U.S. stocks snapped back after a slump on Friday amid rate fears. The Dow Jones industrial average rose 239.6 points, or 1.3% to 18,325.07; the S&P 500 stock index gained 31.23 points, or 1.5%, to 2,159.04; and the Nasdaq stock market rose 85.98 points, or 1.7%, to 5,211.89.

Meanwhile, Citrix Systems Inc.’s 0.5% convertibles due 2019 changed hands down about a point to 112.37, according to Trace data. The lower price came despite a better common stock for the Fort Lauderdale, Fla.-based cloud computing company. Shares were up 19 cents, or 1%, at $17.08.

Fellow tech name, NXP Semiconductors NV also crossed the Trace tape, with the NXP 1% convertibles due 2019 trading at 109.5, which was essentially unchanged on the day.

© 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.