Corporate Bond Sales Record

Corporate bond sales in August reached a record $237.6 billion. A major reason was likely low interest rates, which reached 3.72 percent according to the Bank of America Merrill Lynch index. Siemens issued 13 year bonds at 2.75 percent and 30 year bonds at 3.75 percent. JP Morgan issued 5 year bonds at a 2 percent yield and perpetual preferred shares at 5.5 percent, an especially low rate considering the preferred stock was rated as junk.