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US High-Grade Bond Issuance Surges with 19 Firms

Bloomberg Markets •
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A record pace in US investment-grade bond issuance continued Monday, with 19 firms storming the market, the most in seven months. The companies — ranging from utilities to overseas banks to Tyson Foods Inc. — are raising capital ahead of US inflation reports due this week that may provide fresh insight on the path of the Federal Reserve’s monetary policy.

Investors pared rate-hike bets after Friday’s weaker-than-expected employment report, sending bond yields lower and providing a hospitable environment to raise cash. The surge in issuance underscores strong demand for high-grade debt amid shifting rate expectations.

The flurry of activity marked the busiest Monday for new bond sales since January, with borrowers taking advantage of lower yields to lock in financing before potential policy moves.