Archive for the ‘Uncategorized’ Category

Positive Yields

Tuesday, November 15th, 2016

The 10 year JGB traded above zero for the first time in nearly two months. Via WSJ: By Hiroyuki Kachi Updated Nov. 15, 2016 2:02 a.m. ET 0 COMMENTS TOKYO—The yield on the 10-year Japanese government bond rose above zero on Tuesday for the first time since Sept. 21, with Japan joining ...

Very Busy Corporate Bond Day Yesterday

Tuesday, November 15th, 2016

Via Bloomberg: IG CREDIT: 2nd Highest Monday Volume on Record; GS, MS Led 2016-11-15 10:38:33.954 GMT By Robert Elson (Bloomberg) -- Secondary IG trading ended with a Trace count of $18.2b vs $19.8b Thursday, $14.1b the previous Monday. It was the 2nd highest Monday session since Nov. 2005. * 10-DMA $16.9b; 10-Monday moving avg $14.3b * 144a trading ...

Credit Pipeline

Tuesday, November 15th, 2016

Via Bloomberg: IG CREDIT PIPELINE: 2 Set to Price; Heavy Issuance Expected 2016-11-15 10:31:11.480 GMT By Robert Elson (Bloomberg) -- Expected to price today: * Westpac Banking Corp (WSTP) A3/BBB+. to price $benchmark Subordinated 15/NC10, via managers BAML/C/JPM/MS; IPT +237.5 area * Export Development Canada (EDC) Aaa/AAA, to price $500m 144a/Reg-S 4Y FRN, via BNP/Barc/DB; IPT 3ML +13 area LATEST ...

FX

Tuesday, November 15th, 2016

Via Marc Chandler at Brown Brothers Harriman: Investors Catch Breath, Markets Consolidate After a dramatic run since the US election, the capital markets are consolidating today October UK CPI rose 0.1% vs. 0.3% expected; Italy surprised with 0.3% growth in Q3 The most important data for the US is the ...

Long Time Bond Bull Sees Trump Premium Driving 10s to 2.50

Monday, November 14th, 2016

He also sees Trump's plan failing to stimulate economy and a 1.35 percent 110 year at end of 2017. Via Bloomberg: The 10-year U.S. Treasury yield will hit levels not seen since 2014 before President-elect Donald Trump's first 100 days in office are up, says HSBC Bank PLC Global Head of Fixed ...

Overnight Preview

Monday, November 14th, 2016

Via Robert Sinche at Amherst Pierpont Securities: CHINA: The Bberg consensus expects FDI for October to be up 2.5% YOY versus 1.2% YOY in September, although it would be below the 4.2% gain reported, on average, for the first 9 months of the year. INDIA: Exports rose 4.6% YOY in September, the ...

FX

Monday, November 14th, 2016

Via Marc Chandler at Brown Brothers Harriman: Forces of Movement The anticipation of fiscal stimulus and Fed hikes propels the US dollar higher Emerging markets, and developed bonds are out of favor High frequency economic data is of less consequence than prior to the US election The new week has begun off ...

Some Corporate Bond Stuff

Monday, November 14th, 2016

Via Bloomberg: IG CREDIT: Volume Remains High; Yields Move Higher Still 2016-11-14 10:48:14.729 GMT By Robert Elson (Bloomberg) -- Secondary IG trading ended with a Trace count of $19.8b, the 7th highest Thursday session since 2005, vs $20.2b Wednesday, $15.9b the previous Thursday. * Trading volume was 18th highest since Nov. 2005, more than on 99.3% of trading ...

Credit Pipeline

Monday, November 14th, 2016

Via Bloomberg: IG CREDIT PIPELINE: Heavy Issuance Expected, May Include M&A 2016-11-14 10:26:08.390 GMT By Robert Elson (Bloomberg) -- A Bloomberg survey of dealers and clients had 75% expecting more than $20b of IG issuance this week. 57% thought over $25b; an unusually large 35% looked for over $30b with some saying $40b was possible. Presumably with ...

6 % 10 Year?

Monday, November 14th, 2016

Via Barron's: You heard it here first: Jeffrey Gundlach, CEO of DoubleLine Capital and one of the world’s most successful bond investors, predicted in January at the Barron’s Roundtable that Donald J. Trump would be the country’s next president, noting, “The populist momentum is unstoppable.” Now that the New York businessman has ...