Municipal CUSIP Request Volumes Increase For Second Straight Month In November - Short-Term CD Volume Growth Rate Slows

CUSIP Global Services (CGS) today announced the release of its CUSIP Issuance Trends Report for November 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 monthly increase in request volume for new municipal identifiers, while volumes slowed for corporate securities.

North American corporate requests totaled 5,644 in November, which is down 6.2% on a monthly basis. On a year-over-year basis, North American corporate requests are up 8.7%. The November decline was driven by a 17.1% decline in requests for U.S. corporate equity identifiers and a 6.8% decline in requests for U.S. corporate debt identifiers. Requests for short-term certificates of deposit (CDs) stabilized this month, rising just 0.3% from October totals. On a year-over-year basis, CUSIP request volume for short-term CDs is up 251.5%. This is the 11th straight monthly increase in short-term CD CUSIP request volume.

Municipal request volume increased for a second straight month in November. The aggregate total of identifier requests for new municipal securities – including municipal bonds, long-term and short-term notes, and commercial paper – rose 10.5% versus October totals. On a year-over-year basis, overall municipal volumes were down 19.7%. Texas led state-level municipal request volume with a total of 148 new CUSIP requests in November, followed by New York with 75 and California and Indiana, which each had 66.

“The big story this month is in short-term CDs, where total CUSIP request volumes are still up on a monthly basis but have slowed considerably from the double- and triple-digit growth rates we’ve been seeing over the course of this year,” said Gerard Faulkner, Director of Operations for CGS. “While elevated interest rates should keep CD activity high for the near-term future, it’s impossible to ignore the effects of consistent market volatility and the unpredictable nature of the current economy in our overall CUSIP request volumes so far this year.”

Requests for international equity CUSIPs fell 1.4% in November while international debt CUSIP requests fell 23.7%. On an annualized basis, international equity CUSIP requests were down 34.4% and international debt CUSIP requests were down 41.0%. Syndicated loan requests were up 6.5% on a monthly basis and down 17.6% year-over-year.

To view the full CUSIP Issuance Trends report for November, click here.

Following is a breakdown of new CUSIP Identifier requests by asset class year-to-date through November 2022: