Weekly Market Tone & BWIC Color
March 16, 2026
Last week the BWIC calendar recorded 47 lists for US CLOs, generating $1,766mm posted and $1,264mm traded - down ~26% on both measures from a heavy prior week, though the overall T/P ratio held steady at 71.6%.
The week had a clear two-speed character: Tuesday was the standout session with conversion hitting 98.7%, but momentum faded through the back half with Friday closing at just 40.5% as supply outpaced appetite into the weekend. In terms of where the flow was concentrated, AAA dominated at $908mm traded (71.8% of the total), reflecting a combination of sellers rotating out of the asset class and new-issue buyers drawn back into secondary by wider spread levels. A mid-week stabilisation in the loan market provided some support, but the overall tone remained cautious.
On the price side, weekly average tells a mixed picture. AAAs averaged 99.93, up +0.16 on the week and still trading slightly below the YTD average of 100.15 - consistent with the wider spread environment keeping discounted paper in flow. AA had no color this week, though the YTD average of 100.21 provides a useful reference. Single-As averaged 100.08, a notable +4.33 WoW move though the thin sample warrants caution. BBBs were the only rating to soften on the week, averaging 97.38 (-1.48) and sitting below the 98.94 YTD average - the dispersion in Color DM (S+280–672bps, 103bps standard deviation) and a 13.9% DNT rate confirm selective and price-sensitive bidding. BBs recovered +2.18 to 96.06, though still below the 97.63 YTD average, with the NC scatter data telling the real story: out-of-NC bonds averaged ~S+598bps versus ~S+1,058bps for locked-out structures - a 460bps premium for in-NC paper.
NR printed a single confirmed clear at 42.25 (−56.26 WoW), a deeply distressed level that is an outlier rather than a market signal. The dominant theme heading into this week remains non-call positioning. Callable paper is commanding a clear execution premium across BBB and BB.
Traded US CLO BWIC Volumes, Bn
