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Deals pour in to slightly firmer market

By Aaron Weitzman
Christine Albano

Published January 15 2019, 1:50pm EST

New deals were rolling in, with timing benefiting issuers as the market firmed.

Strong demand will likely lead to oversubscriptions on the Pennsylvania Housing Finance Authority deal after a significant portion of the longer maturities were spoken for in Monday’s retail order period, according to John Mousseau, president and chief executive officer of Cumberland Advisors.

Orders were two times oversubscribed for the 2044 maturity, which was priced at 4% and seven times oversubscribed for the 2047 maturity, which was priced at 4.05% in the retail order period.

Mousseau predicted Tuesday’s institutional pricing would result in the 2047 maturity being bumped five basis points to 4%.

“Most deals have had very good follow through,” Mousseau said late on Monday.

“With January 1 rollover dwarfing new issuance, it’s usually a good seller’s market and this January is no different,” he added.

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