10.21.21
New-issue activity in September reached $92 billion, the strongest month of issuance for non-agency RMBS, CMBS, ABS and CLOs, to date in 2021. Another $23 billion issued in the first two weeks of October helped volume reach $710 billion, surpassing in under 10 months the level reached for the entire year of 2019. Driving this activity has been strong investor demand, and an understandable desire by issuers to avoid taper noise and to mitigate the effects of a LIBOR transition deadline. Despite the torrent of new supply, demand has kept bond prices firm.