NORWALK, Conn., Aug. 18, 2022 (GLOBE NEWSWIRE) -- CUSIP Global Services (CGS) today announced the release of its CUSIP Issuance Trends Report for July 2022. The report, which tracks the issuance of new security identifiers as an early indicator of debt and capital markets activity over the next quarter, found a significant monthly decrease in request volume for new corporate and municipal identifiers.
North American corporate requests totaled 5,253 in July 2022, which is down 9.6% on a monthly basis. On a year-over-year basis, corporate requests were up 8.5%. July volumes were driven by an 11.7% decrease in requests for new U.S. corporate equity identifiers and a 33.3% decline in request volume for new U.S. corporate debt identifiers. Short-term certificates of deposit (CDs) identifiers continued their seven-month growth streak, rising 1.9% in July. Longer-term CDs, with maturities of one year or longer, saw an 8.0% decline in new CUSIP request volume this month.
Municipal request volume also declined in July. The aggregate total of identifier requests for new municipal securities – including municipal bonds, long-term and short-term notes, and commercial paper – fell 23.6% versus June totals. On a year-over-year basis, overall municipal volumes were down 17.3%. New York led state-level municipal request volume with a total of 164 new CUSIP requests in July, followed by Texas with 144 and California with 65.
“We’re seeing a combination of rising interest rates and the seasonality of new security issuance rear their heads this month’s CUSIP Issuance Trends report,” said Gerard Faulkner, Director of Operations for CGS. “July is a notoriously slow month for new issuance – particularly in the municipal and equity space – and that is definitely a factor in this month’s numbers, but it’s likely not the only factor. As the 7-month growth trend we’ve been seeing in long-term CDs will attest, interest rates do have an effect on new issuance volumes.”
Requests for international equity and debt CUSIPs were also down in July. Requests for international equity CUSIPs fell 33.7% this month, while international debt CUSIP requests fell 20.0%. On an annualized basis, international equity CUSIP requests were down 40.9% and international debt CUSIP requests were down 30.3%.
To view the full CUSIP Issuance Trends report for July, click here.
Following is a breakdown of new CUSIP Identifier requests by asset class year-to-date through July 2022:
| Asset Class | 2022 YTD | 2021 YTD | YOY Change | |
| CDs < 1-year Maturity | 2,555 | 917 | 178.6 | % |
| CDs > 1-year Maturity | 3,887 | 2,450 | 58.7 | % |
| Private Placement Securities | 2,566 | 2,009 | 24.3 | % |
| U.S. Corporate Debt | 9,198 | 8,688 | 5.8 | % |
| Canada Corporate Debt & Equity | 3,185 | 3,330 | -4.4 | % |
| Syndicated Loans | 1,404 | 1,677 | -16.3 | % |
| Short-Term Municipal Notes | 471 | 568 | -17.1 | % |
| Long-Term Municipal Notes | 338 | 413 | -18.2 | % |
| Municipal Bonds | 6,334 | 7,885 | -19.7 | % |
| U.S. Corporate Equity | 6,613 | 8,535 | -22.5 | % |
| International Debt | 2,268 | 3,252 | -30.3 | % |
| International Equity | 1,033 | 1,749 | -34.0 | % |
About CUSIP Global Services
The financial services industry relies on CGS’ unrivaled experience in uniquely identifying instruments and entities to support efficient global capital markets. Its extensive focus on standardization over the past 50 years has helped CGS earn its reputation as a trusted originator of quality identifiers and descriptive data, ensuring that essential front- and back-office functions run smoothly. Relied upon worldwide as the industry standard provider of reliable, timely reference data, CGS is also a founding member and co-operates the Association of National Numbering Agencies (ANNA) Service Bureau, a global security and entity identifier database for over 34 million public and privately traded instruments, contributed by 91 national numbering agencies and 25 partner agencies representing 120 different countries. CGS is managed on behalf of the American Bankers Association (ABA) by FactSet Research Systems Inc., with a Board of Trustees that represents the voices of leading financial institutions. For more information, visit www.cusip.com.
About The American Bankers Association
The American Bankers Association represents banks of all sizes and charters and is the voice for the nation’s $13 trillion banking industry and its 2 million employees. Learn more at www.aba.com.
For More Information:
John Roderick
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