Junk market quietly heads into holiday; European calendar builds; energy names turn mixed

By Paul Deckelman and Paul A. Harris

New York, July 3 – The high-yield market saw a very quiet pre-holiday session on Monday, with relatively few participants around heading into the Tuesday’s Independence Day holiday break in the United States.

The dollar-denominated junk market – which saw a busy new-issuance week last week, as issuers rushed to get their new deals done ahead of the looming end of the calendar second quarter and first half, clearing the domestic forward calendar – was silent on Monday.

What news there was came out of Europe, from prospective issuers including French container ship company CMA CGM SA, German container ship operator Hapag-Lloyd AG and German plastic packaging manufacturer Kloeckner Pentaplast.

Back in the domestic end of the market, traders reported little activity in recently priced dollar-denominated junk bonds, with only Carrizo Oil & Gas, Inc. and j2 Cloud Services, LLC posting even a handful of transactions.

Away from the upcoming or recently issued deals, traders said that the energy sector was something of a mixed bag – even while world crude oil prices moved up by more than $1 per barrel for most grades, their eighth consecutive gain. There were some rumblings heard that the current strong price trend can’t last in the face of anticipated new supply, setting the stage for a fall in prices at some point.

© 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.