CUSIP ID Requests Project Active Bond Issuance in US Corporate & Muni Markets
Requests for New US Corporate Debt and Equity Identifiers Reaches Highest Level Since 2008; International Markets Show Effects of Eurozone Crisis
NEW YORK, June 18, 2012 /PRNewswire/ -- CUSIP Global Services (CGS) today announced the release of its CUSIP Issuance Trends Report for May 2012. The report, which tracks the issuance of new security identifiers as an early indicator of debt and capital markets activity, suggests continued strength in US corporate debt and municipal bonds issuance and a slowdown in international issuance.
Municipal CUSIP requests rose 6% over April's figures with 1,729 identifier requests made during the month of May. This marks the fourth consecutive monthly gain for municipal CUSIP orders and the best showing since October 2010, when 1,747 identifier requests were made. Year-over-year, municipal CUSIP requests have climbed 56% in the first five months of 2012.
CUSIP requests for US corporate securities increased in May with 2,116 identifiers requested, compared with April's count of 1,843. May's results marked the strongest showing for combined domestic corporate debt and equity CUSIP activity since March 2008. Total corporate CUSIP volume is up 12.1% for the first five months of 2012 over the same time period last year.
International equity CUSIP activity declined to 222 requests in May compared to 243 in April marking the second slowest period this year. Meanwhile, international debt CUSIP requests rose to 172, the second best monthly showing in 2012. Overall, both asset classes have experienced double digit declines in CUSIP volume over 2011's figures as European debt concerns continue to mount.
"Several asset classes experienced a surge in CUSIP activity in May with the US corporate securities and muni markets showing increased strength," said Richard Peterson, Director, Global Markets Intelligence, S&P Capital IQ. "However, with the sovereign debt crisis still swirling, we can expect investors to exercise caution in the European markets in the coming months."
To view a video commentary of this month's CUSIP issuance trends with Richard Peterson, please click here.
Following is a breakdown of new CUSIP identifier requests by asset class year-to-date through May 2012:
| Asset Class |
2012 ytd |
2011 ytd |
YOY Change |
| Municipals |
7242 |
4641 |
56.0% |
| Private Placement |
1123 |
975 |
15.2% |
| US Corporates |
9125 |
8142 |
12.1% |
| Short Term Note |
472 |
451 |
4.7% |
| Long Term Note |
146 |
142 |
2.8% |
| CDs < 1 yr Maturity |
1442 |
1543 |
-6.5% |
| CDs > 1 yr Maturity |
3179 |
3497 |
-9.1% |
| Int'l Debt[1] |
706 |
845 |
-16.4% |
| Int'l Equity[2] |
1206 |
1634 |
-26.2% |
The CUSIP Global Services trends report is issued to the marketplace on a monthly basis. For more information, please visit www.cusip.com.
About CUSIP Global Services
For 40 years CUSIP Global Services has provided a unique common language for identifying financial instruments across institutions, exchanges and nations, enabling financial services firms to benefit from improved operating efficiencies and substantially reduced administrative costs. CUSIP Global Services is operated by the CUSIP Service Bureau (CSB). CSB is managed on behalf of the American Bankers Association by Standard & Poor's. For more information, visit www.cusip.com.
About The American Bankers Association
The American Bankers Association represents banks of all sizes and charters and is the voice for the nation's $13 trillion banking industry and its 2 million employees. Learn more at www.aba.com.
[1] "International" Debt refers to market requests for CUSIP International Numbers ("CINS") for non-U.S. debt offerings
[2] "International" Equity refers to market requests for CUSIP International Numbers ("CINS") for non-U.S. equity offerings
SOURCE CUSIP Global Services
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