Morning Commentary: NextEra convertible notes improve on quiet morning

By Abigail W. Adams

Portland, Me., April 11 – The convertibles secondary space saw a quiet start to the day on Thursday as markets digested the latest round of macro data after Wednesday’s Consumer Price Index report called into question the Fed’s rate cut path.

The Produce Price Index report came in softer-than-expected on a monthly basis but still reflected a large annual gain.

With unemployment claims below expectations, the macro data continued to feed into doubts about the number of rate cuts to expect in 2024.

Equity indexes were mixed and Treasuries flat after the heavy selling of the previous session.

The Dow Jones industrial average was down 183 points, or 0.48%, the S&P 500 index was down 0.13%, the Nasdaq Composite index was up 0.36% and the Russell 2000 index was down 0.25% shortly before 11 a.m. ET.

NextEra Energy, Inc.’s 3% convertible notes due 2027 (Baa1/BBB+) remained active with the notes improved in early trade.

The notes were changing hands at 107.325 early in the session, a source said.

NextEra’s stock was trading at $63.46, a decrease of 0.87%, shortly before 11 a.m. ET.

© 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.