January started off quiet due to conference schedules, followed by some light new-issue activity. However, what this January will be remembered for is the re-pricing of spreads.
Coming out of last year's slow supply calendar, there were expectations that spreads would begin to tighten. Hitting the tight end of the range, however, was not expected until late in the first quarter. The performance of the deals that priced this month changed all of that, including the idea that corporate crossover buying had ended.