Quick Search Tags
Smith's Research & Gradings
February 16, 2021

Smith's Research & Gradings

American Dreamers

American Dreamers

American Dream bondholders went on real roller coaster ride that rivals the mall's Nickelodeon Universe Theme park.
It started when the COVID-19 crisis shut down the American Dream mall from last March through August and prices plunged into the 80s the bonds.

Two weeks ago, the MSRB EMMA site featured a "failure to file notice".  Several analysts were quick to say, "It doesn't surprise me" and "I don't think we will hear good news."  Several waxed philosophical with lengthy descriptions of how COVID-19 has changed retail shopping
Yet the next day, American Dream filed an update (see below) that surprised almost everyone.  The American Dream mall showed positive traction starting in September and kept climbing through December.  The Grinch did not steal Christmas from American Dream.

Then, on February 9, the MSRB's EMMA website posted a trade with a customer selling the American Dream bonds at 106.657, or a 5.8% yield, and a customer buying a couple minutes later at 106.946, or a 5.75% yield.

"It was a $10 mln. block of bonds that traded around 3:30 (EST) in the afternoon," a source said. "The trade changed the evaluations and produce a 23% gain for American Dreamers."

Haters went wild after the news reported. Many suggested the trade was done between funds with a single family because of the timing. Others suggested it was a signal the municipal high yield bond market had hit a top.

Take notice

Stay on top of the latest global news that can impact your investment strategy.

La Niña and Arctic Oscillation Bring Winter Storms

Extreme winter weather hit 44 states and caused power outages for millions of Americans. Texas reported 10 deaths due to the cold temperatures. Smith's ESGradings has conducted decades of research on climate change. This year's events are due, in part, to La Nina.

Silver Line and Purple Line Problems Underscore Challenges to Economic Development Plans

Economic development related to transportation in and around Washington, D.C. underscores the tremendous limitations and challenges facing the area.

Outlook Negative

California High Speed Train May Jump the Tracks

Oracle co-founder Larry Ellison and Tesla founder Elon Musk both agree when it comes to California's $77 billion high-speed rail project—the project is going to jump the tracks.

Subscribe Today to unlock insights that could impact you tomorrow!

With your monthly or yearly Subscription you will unlock online articles and have the ability to download the full PDF files for the publication.
$79.95 / Per Month
$850 / Year (Save 30%)
* Discounted Rates for Issuers and Governmental Entities

Smith's Research & Gradings focuses on the people, sectors and news that matter the most to you. Smith's analysis is an indispensable part of Wall Street and the world's capital markets. Our approach was inspired by the need for a consistent analytical approach across all asset classes.

$79.50 / Per Month
$850 / Year (Save 30%)
* Discounted Rates for Issuers and Governmental Entities

Let a subscription to The Global Economic Doctor provide you with access to sovereign news, analysis and insights. Concise and powerful, the Global Economic Doctor spans the globe, giving you a read on how today’s market developments and key players are impacting your business around the planet.