Interest Rate Ranges: Quoted Past 60 Days

The last 60 days have been marked by volatility due to movements in U.S. Treasuries and corporate bond spreads, both of which have moved wider. In light of the greater macro-market movements in fixed income and equities alike related to the war in Iran, many lenders have widened their spreads 5-20bps while policy makers at the Federal Reserve held their benchmark rate once again. The entire U.S. Treasury yield curve has raised approximately 16bps on the month.

All-in coupons for perm and bridge financings remain near 12-month lows and lenders remain eager to get out their funds. Liquidity is overweight compared to lending demand, so upward pressure on loan spreads should be relatively mild. We expect short-term volatility to remain until there is greater clarity for the global markets.