MNI US Credit Weekly

Feb 27 26 US Credit Weekly.pdf

Executive Summary

• Spreads were wider by +7.5bps as markets reacted to private credit and AI worries. Financials (+10.3bps) underperformed with the BDCs and Alt Asset Managers subsegment moving out the most.
• In macro, AI disruption and Iran tensions underpinned lower rates with data playing second fiddle.
• Fund flows in IG inflows receded from last week in both USD/EUR. HY USD/EUR both had outflows.
• Supply picked up to $63bn+; books were stable and aggregate NICs were 27bps. Expectations are for higher volume next week. YTD volume $400bn, up 17% YOY.