MBS
Friday, March 14th, 2008Quite a volte face in the MBS market. Mortgages in early trading were about 12 ticks tighter to Treasury paper and are now wider by 13 ticks.
Archive for March, 2008
Quite a volte face in the MBS market. Mortgages in early trading were about 12 ticks tighter to Treasury paper and are now wider by 13 ticks.
Miscellany Continued
Friday, March 14th, 2008I had a computer problem so this is a continuationof the prior post. The statement by Bear and JPM notes that they might have to consider other alternatives. That ,in my opinion, means that JPMorgan will subsume the remnant pieces of a once very proud financial intermediary and the subprime crisis ...
Miscellany
Friday, March 14th, 2008JPMorgan and the Federal Reserve Bank of New York will work in concert to keep Bear Stearns alive for 28 more days through secured funding. JPM will borrow from the NY Fed and pass the money literally 0ut its back door on 47th Street and into the front door of ...
Some Opening Comments March 14 2008
Friday, March 14th, 2008Prices of Treasury coupon securities have registered modest gains in overseas trading and the front end has performed the best as the yield curve steepened.The yield on the 2 year note has slipped by 4 basis points to 1.58 percent. The yield on the 5 year note has dropped 2 ...
Some Early Morning Links
Friday, March 14th, 2008AIG rails against recognizing reality. And in a nice segue the SEC is apprently considering giving companies some wiggle room . Flight to quality in Japan as stocks slide. Dollar woes persist. Europe confident that the US economic engine will quickly restart. While the Chinese economy is running on all cylinders.
Closing Commentary March 13 2008
Thursday, March 13th, 2008Prices of Treasury coupon securities are closing the day with mixed results after another wild ride. The 2 year note yield is virtually unchanged from the previous close at 1.62 percent . Benchmark securities with longer maturities did not fare as well. The yield on the 5 year note jumped ...
Barney Frank Prposal
Thursday, March 13th, 2008Here is a link to the proposal by Barney Frank which would nationalize the subprime problem. The key question is the transfer price of the home to the FHA. How much of the loss will the lending institution take and for how much will the taxpayers be on the hook. This ...
Auction Result: Not Pretty
Thursday, March 13th, 2008The Treasury held an auction of $10 billion 10 year notes and very few bidders attended the party.The issue was trading ar about 3.48 percent at auction time but tailed back to 3.51 percent. Bloomberg notes that was the lowest yield ever for a 10 year note auction by the ...
Treasury Update
Thursday, March 13th, 2008The focus of the Treasury market at the moment is the auction in about one hour of $10 billion 10 year notes. The auction is a reopening of the 3 ½ 2/15/18. I think the fierce struggle here is between the rate (currently about 3.45 percent) which is decidedly into ...
MBS
Thursday, March 13th, 2008Mortgage selling has picked up where it left off before the Fed announced that they would lend the dealers some balance sheet. There has been outright selling as well as selling versus Treasury debt. The selling has been professional and hedge funds but a smattering of money managers and other ...