CREDIT DAYBOOK AMERICAS: Southwest May Bring 1st Deal Since 2020

Activity is projected to pick up this week in the US investment-grade primary market, potentially including Southwest Airlines’ first sale since 2020, as more companies release quarterly results and the funding environment remains historically attractive.

• High-grade spreads narrowed three basis points last week to 75 basis points, back near levels last seen in 1998, while yields are just a basis point above 2025’s low and overall interest-rate volatility again reached its lowest point in four years
  • Dealers had projected about $20 billion of issuance this week, which would be this month’s second-busiest week if the forecast is accurate, ...