Cash hard to raise as Fed jars credit markets - Yahoo! Finance
Reuters – 6 hours ago
(Reuters) - Prospective borrowers ranging from U.S. companies to county
governments on Monday shelved a raft of deals to raise new capital or
refinance debt as a suddenly uncertain interest rate environment dented
demand.
In the municipal bond market, half a dozen deals aimed at raising
collectively more than $300 million were postponed, while several
companies pulled plans to refinance syndicated bank loans. Corporate
bonds, meanwhile, passed a fourth day with no deals brought to market,
either in the risky high-yield sector or the safer investment-grade
sphere.
Raising capital has been challenging to say the least since last
Wednesday when Federal Reserve Chairman Ben Bernanke sent interest
rates soaring by outlining a plan to wind down the central bank's
massive stimulus program.
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