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Mom-and-pop mortgage holders aren't the only ones who like to take advantage of low rates by...

Mom-and-pop mortgage holders aren't the only ones who like to take advantage of low rates by refinancing. The month isn't over yet, but corporations have issued about $120B in debt, the busiest August since Dealogic began compiling records in 1995. The question is whether corporate treasurers (often good at timing) are signalling a bottom in interest rates.
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Comments (6)
  • divatrades2
    , contributor
    Comment (1) | Send Message
     
    I am a novice investor, frustrated by the obvious gaming of the system by the institutional and investment banks, which is almost forcing everyone to become a trader in order to survive.
    27 Aug 2012, 03:23 PM Reply Like
  • Whitehawk
    , contributor
    Comments (3129) | Send Message
     
    Better to be a market maker.
    27 Aug 2012, 05:12 PM Reply Like
  • Whitehawk
    , contributor
    Comments (3129) | Send Message
     
    Good timing or not, this is a no-brainer for corporations to take advantage of the conditions and issue 'cheap' debt. The question is when/where the mountain of cash will be deployed.
    27 Aug 2012, 05:10 PM Reply Like
  • untrusting investor
    , contributor
    Comments (9966) | Send Message
     
    Why would any stable corporation not borrow at these low rates. Multiple ways to use cheap funds to their advantage.
    27 Aug 2012, 11:11 PM Reply Like
  • idkmybffjill
    , contributor
    Comments (1687) | Send Message
     
    Issue cheap debt, use it to buyback stock.
    28 Aug 2012, 09:19 AM Reply Like
  • Fractalshift
    , contributor
    Comments (11) | Send Message
     
    Lower cost of capital increases ROE, ROI, and virtually every other measure. When we consider the serious downside to second stock issues (high cost and lower market perceptions, not to mention dilution) buy backs may become fashionable!
    29 Aug 2012, 09:21 PM Reply Like
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