Archive for December, 2013

Treasury Update

Thursday, December 26th, 2013

The markets are extremely thin and many participants are out on an extended holiday so to get overly enthralled by the price action. There are a couple of points to ponder here though. The Long Bond in cash has supported around 97-0 over the last trading sessions. If we breach ...

Interesting Charts

Thursday, December 26th, 2013

Here are some charts which support the case of nascent economic strength. Thanks to Robert Sinche at Pierpont Securities. GLOBAL: After muddling around neutral readings (data near expectations) during the early months of 4Q2013, there are hints that Economic Surprise Indexes are tilting to the positive, with upbeat data in both ...

December 26 2013 Opening

Thursday, December 26th, 2013

It was a very quiet overnight session. I believe that most of Europe is closed as none of the equity markets in Europe register as open. The yield curve is little changed with 5s 30s at 216 basis points (recall that spread traded around 254 on November 20) and 10s ...

New Yawk Accent

Wednesday, December 25th, 2013

This is a non market related piece but on a topic near and dear to my heart. The NYTimes has an article with a series of questions on the way you pronounce a series of words and from your answers the authors construct your personal dialect map. I did not know ...

Wrestling with Deflation in Japan

Wednesday, December 25th, 2013

The Wall Street Journal is carrying an article about the successful debasement of its currency and the attendant demise of the deflation dragon in Japan. The Bank of Japan will count its policy initiative a success when inflation returns and that has not yet happened. The article notes that the ...

On Line Sales Surge

Wednesday, December 25th, 2013

In a previous post a few minutes I chronicled weak retail sales at traditional brick and mortar stores. The WSJ cuts through that gloom with a report of surging on line sales. Via the WSJ: Online Sales Jumped 37% During Weekend Sales Through Mobile Devices Rose 53% By Andria Cheng connect Dec. 24, 2013 12:49 p.m. ET Retailers' ...

Happy Days Here Again: Japan’s Version

Wednesday, December 25th, 2013

Via Bloomberg News:   Japan’s Nikkei 225 Closes Above 16,000 First Time Since 2007 2013-12-25 06:57:02.195 GMT By Yoshiaki Nohara Dec. 25 (Bloomberg) -- Japan’s Nikkei 225 Stock Average closed above 16,000 for the first time in six years, extending gains in the finals minutes of trading, as clothing retailer Fast Retailing Co. led the equity benchmark higher. Fast ...

Not So Merry Christmas for Retailers

Wednesday, December 25th, 2013

Retail store sales and traffic at those stores took a tumble in the week ending Sunday December 22 according to ShopperTrak. Traffic plunged a whopping 21 percent and sales slipped 3.1 percent. Bad weather accounts for some of the slippage and some of that shopping probably happened on line. I ...

Politics and 2014

Tuesday, December 24th, 2013

I am a political junkie and when the calendar page turns and reads 2014 we will be just a little more than ten months from the off year election to determine control of Congress and the extent of Barack Obama's lame duckery in his last two years in office. The ...

Christmas Eve Blogging

Tuesday, December 24th, 2013

Once again I remain in light blogging mode for the Christmas holiday as sometimes personal life trumps the interest rate markets. However, as one would expect volumes were extremely light overnight. One dealer noted that volume was about 1/2 of normal. That dealer noted that the only meaningful flow was ...