(Bloomberg) -- JPMorgan Chase & Co., Wells Fargo & Co. and Morgan Stanley are issuing US investment-grade bonds on Tuesday, kicking off what is expected to be a busy week in debt sales as big banks emerge from earnings blackouts. 

All told, the three Wall Street giants accounted for $23 billion of the $30 billion in blue-chip company debt being raised Tuesday, making it the busiest day in terms of new bond sales so far this year, according to data compiled by Bloomberg. 

About $35 billion of US high-grade bond sales are expected this week, with some or all of the big six US banks expected to account for much of the volume. The banks are staring down about $114 billion of maturing holding company debt that meets regulatory requirements in 2025, data compiled by Bloomberg shows.

It’s a “good environment” for bank debt, according to Bloomberg Intelligence’s Arnold Kakuda.

“The big US banks are joining this overall 2024 theme of increased vigor to come to market,” said Kakuda. “Spreads are on the tight end and overall base rates, Treasuries are down from the peak with the expectation of rate cuts later in the year.”

JPMorgan led Tuesday’s issuance with an $8.5 billion jumbo deal in four parts. The longest portion, an 11-year note, will yield 1.28 percentage points over Treasuries after initial pricing discussions of 1.5 to 1.55 percentage points, according to a person familiar with the matter, who asked not to be identified because they’re not authorized to speak about it. 

Wells Fargo is also offering $8 billion of debt in four parts, according to a person with knowledge of the matter. The longest portion of the offering, an 11-year fixed-to-floating-rate note will yield 1.45 percentage points over Treasuries after initial pricing discussions of 1.7 to 1.75 percentage points. 

Morgan Stanley tested investor appetite with a $6.75 billion four-part deal after announcing quarterly results earlier Tuesday, according to a person familiar. The longest portion, an 11-year fixed-to-floating rate note, yields 1.4 percentage points over Treasuries after initial pricing discussion of 1.6 percentage points, the person said. 

JPMorgan and Wells Fargo declined to comment while Morgan Stanley didn’t reply to a request for comment.

Tuesday’s deals reflect new regulations that require banks to hold a certain amount of debt at the level of their holding companies to help bolster against market shocks. All four tranches from JPMorgan’s bond sale were comprised of holding company-level debt. Meanwhile, the six-year and 11-year tranches of Wells Fargo’s and Morgan Stanley’s transactions were issued by their holding companies. 

High-grade spreads hovering around a two-year low could help entice companies to sell new debt as borrowing costs fall. 

JPMorgan finished the most profitable year in US banking history with its seventh consecutive quarter of record net interest income last week. Several other lenders, including Bank of America Corp., Citigroup Inc. and Goldman Sachs Group Inc., have also reported and could sell bonds this week. 

(Updates with deal launch details and analyst commentary throughout.)

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