Biotech Values

[DewDiligence]

More on the bond bubble—IBM sells 3- and 7-year notes at 0.8% and 1.9%, respectively:

http://www.reuters.com/article/2012/05/08/ibm-bonds-idUSL1E8G8ENQ20120508

International Business Machines Corp on Tuesday set a record for the lowest ever coupon on a seven-year note, breaking through the 2.00% barrier in that maturity for the first time.

IBM, rated Aa3/A+/A+, sold $1.5 billion of debt in a two-part deal, consisting of $900 million of three-year notes and $600 million of seven-year notes.

The seven-year priced at 99.85 with a coupon of 1.875%, to yield 1.898% or 65 basis points above comparable Treasuries.

The three-year priced at 99.834 with a coupon of 0.75% to yield 0.806% or 45 basis points above Treasuries.