Archive for the ‘Uncategorized’ Category

Block Trade

Tuesday, November 25th, 2014

If you did not see this it is worth noting. This is via a fully paid up subscriber: MASSIVE TYH/USH BLOCK post is weighted flattener with Mar 10yr sold through bid at time, Mar 30yr bought well over offer MASSIVE post at 2:06 pm ET: 18,950 USH  at 141-11 34,856 TYH at 126-09

Guest Post

Tuesday, November 25th, 2014

This is another piece from my friend and former colleague Steve Liddy. I post this without the Bloomberg chart which is attached to the email. I do not think it translates well to this low budget blog. My apologies to Steve and you but his prose is quite clear and ...

GDP Analysis

Tuesday, November 25th, 2014

Via Stephen Stanley at Amherst Pierpont Securities: Real GDP growth in the third quarter was revised upward from 3.5% annualized to 3.9%, in contrast to expectations of a small downward adjustment.  The surprises came in the key categories, indicating more underlying strength than initially estimated.  Consumer spending in real terms was ...

Administrative Note and Happy Thanksgiving

Tuesday, November 25th, 2014

The beautiful holiday of Thanksgiving is upon us and it is one that should be enjoyed with family and friends. Consequently I will post significantly less over the next several days as I enjoy time with my family. I wish all of the readers of this blog a blessed and Happy ...

Corporate Bond Market in China

Tuesday, November 25th, 2014

This is a troublesome story out of China as it reports that yields on AAA corporates bonds in China with maturities of 3 years have risen 17 basis points in the past week. The story was out on Bloomberg yesterday. Via Bloomberg: China’s Companies Scrap $1 Billion in Bond Sales as Yields ...

Two Year Auction Result

Monday, November 24th, 2014

Via CRT Capital *** A solid takedown with non-dealer bidding at 52% vs. 51% norm and a 0.7 bp stop-through -- largest through-stop since Oct 2012. *** * 2-year auction stops at 0.542% vs. a 0.549% 1-pm bid WI. * Dealers were awarded 48% vs. 49% average of last four 2-year auctions. * Indirects ...

From the How Many Angels Can Dance on Head of a Pin Department

Monday, November 24th, 2014

I have  my grandfather hat on so blogging is light today. Yahoo skewered me earlier with an extended outage in which i could not access email. Anyway this is interesting. Via Bloomberg: NY Fed Raises Idea of Treasury Support for Fed Balance Sheet 2014-11-24 17:18:09.901 GMT By Vivien Lou Chen Nov. 24 (Bloomberg) -- Treasury ...

MBS

Monday, November 24th, 2014

Mortgages opened unchanged this morning. There was very little activity in the product in the overnight session. One trader noted that this should be a good week for MBS as the Treasury has a ton of belly paper for sale while reinvestment demand from the Fed soaks up supply.

What to Watch Today

Monday, November 24th, 2014

Via Bloomberg: WHAT TO WATCH: * (All times New York) Economic Data * 8:30am: Chicago Fed Nat Activity Index, Oct., est. 0.40 (prior 0.47) * 9:45am: Markit US Services PMI, Nov. preliminary, est. 57.3 (prior 57.1) * Markit US Composite PMI, Nov. preliminary, (prior 57.2) *10:30am: Dallas Fed Manufacturing Activity, Nov., est. 9 (prior 10.5) * Markit US Composite PMI, Nov. ...

FX

Monday, November 24th, 2014

Via Marc Chandler of Brown Brothers Harriman: Drivers for the Week Ahead - The highlight for this holiday-shortened week will be the EU and the OPEC meetings - In terms of economic data, today’s German IFO surprised on the upside, helping the euro regain the $1.24 level against the dollar - New record low ...