Morning Commentary: Charles Schwab, Mitesco preferreds on tap; JPMorgan eyed; AT&T up

By James McCandless

San Antonio, April 27 – The preferred market started a new week on higher ground as the Wells Fargo Hybrid & Preferred Securities Financial index began up by 0.30%.

In primary market activity, Charles Schwab Corp. announced plans to price an offering of $1,000-par series G fixed-rate reset non-cumulative perpetual preferred stock.

BofA Securities, Inc., Citigroup Global Markets Inc., Credit Suisse Securities (USA) LLC, Goldman Sachs & Co. LLC, J.P. Morgan Securities LLC and Morgan Stanley & Co. LLC are the joint bookrunners.

The preferreds are redeemable on June 1, 2025 at par. Prior to that, they are redeemable within 90 days after a regulatory capital treatment event.

Also, Mitesco, Inc. said that it plans to start a general solicitation private placement offering of up to $15 million of series A preferred stock with a dividend of 10%.

CIM Securities, LLC is the lead placement agent.

Meanwhile, in the secondary space, JPMorgan Chase & Co.’s 6.15% series BB non-cumulative preferred stock was active but unchanged so far.

The preferreds (NYSE: JPMPrH) were holding level at $25.70 on volume of about 102,000 shares.

Sector peer Bank of America Corp.’s 5% series LL non-cumulative preferred stock was seen improving as the session started.

The preferreds (NYSE: BACPrN) were adding 9 cents to $24.55 with about 67,000 shares trading.

Elsewhere, in telecom, AT&T Inc.’s 5.35% global notes due 2066 were also picking up steam.

The notes (NYSE: TBB) were improving by 14 cents to $25.90 on volume of about 56,000 notes.

Qwest Corp.’s 6.5% notes due 2056 were following the positive trend.

The notes (NYSE: CTBB) were gaining 6 cents to $23.00 with about 47,000 notes trading.

Insurance provider MetLife, Inc.’s 4.75% series F non-cumulative preferred stock also kicked off the day with a rise.

The preferreds (NYSE: METPrF) were tacking on 6 cents to $24.01 on volume of about 39,000 shares.

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