J.P. Morgan: Several companies are selling commercial paper to increase cash.

Morgan Stanley strategist stated that due to the economic uncertainty caused by the Trump administration's tariff policies, businesses are seeking to enhance liquidity, leading to a surge in short-term corporate debt issuance in April. A team of Morgan Stanley strategists led by Teresa Ho cited data from the US Depository Trust & Clearing Corporation, indicating that last month's issuance of non-financial commercial paper increased by $100 billion, higher than the monthly average of $27 billion from 2019 to 2024. At its peak, the spread between top-rated notes and treasury bills reached its highest level since August 2022. The spread between lower-rated notes also hit its highest level since June 2023.