The new Issue calendar last week priced $25.8Bln missing expectations of $30-35Bln, the month now sits at $57Bln on estimates of $95Bln. Financial spreads in secondary paper were unchanged to 5Bps tighter on decent volume.

We saw $5.6Bln of net client selling led by Financials, Utilities and Health Care with Materials seeing net client buying. Estimate are calling for $20-25Bln of new supply. Even though the weeks supply missed expectations, the issuance backdrop remains strong as US investment-grade spreads have reached their tightest levels since 2005.

Issuers are likely to take advantage and raise new capital as spreads reach these record lows.