CUSIP sees decline in request volumes for July
06 August 2020 New York
Image: jozsitoeroe/Adobe Stock
Committee on Uniform Securities Identification Procedures (CUSIP) identifier requests for US and Canadian equity and debt saw a year-over-year increase of 15.3 percent, according to CUSIP Global Services.
The group’s issuance trends report tracks the issuance of new security identifiers as an early indicator of debt and capital markets activity.
Although corporate CUSIP identifier requests saw a year-on-year increase, it marked a monthly decrease of 19.4 percent from June 2020, particularly in the area of US corporate debt.
Municipal securities also declined in July following three months of volume increases, except for with requests for short-term notes with maturities.
The aggregate total of all municipal securities fell 10.1 percent compared to June totals.
However, requests for short-term notes with maturities less than a year increased 31.8 percent from June during the annual peak notes issuance season.
On an annualised basis, municipal CUSIP identifier request volumes were up 11.9 percent through July.
Elsewhere, for municipal bonds specifically, there was a decline of 11.7 percent month-over-month but an increase of 14.6 percent on an annualised basis.
Gerard Faulkner, director of operations for CUSIP Global Services, explained: “While annualised volumes are still telling a story of relatively healthy capital markets, this one-month slow-down in request volume is something market participants may want to watch for any further signs of lower issuance in the second half of the year.”
The group’s issuance trends report tracks the issuance of new security identifiers as an early indicator of debt and capital markets activity.
Although corporate CUSIP identifier requests saw a year-on-year increase, it marked a monthly decrease of 19.4 percent from June 2020, particularly in the area of US corporate debt.
Municipal securities also declined in July following three months of volume increases, except for with requests for short-term notes with maturities.
The aggregate total of all municipal securities fell 10.1 percent compared to June totals.
However, requests for short-term notes with maturities less than a year increased 31.8 percent from June during the annual peak notes issuance season.
On an annualised basis, municipal CUSIP identifier request volumes were up 11.9 percent through July.
Elsewhere, for municipal bonds specifically, there was a decline of 11.7 percent month-over-month but an increase of 14.6 percent on an annualised basis.
Gerard Faulkner, director of operations for CUSIP Global Services, explained: “While annualised volumes are still telling a story of relatively healthy capital markets, this one-month slow-down in request volume is something market participants may want to watch for any further signs of lower issuance in the second half of the year.”
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