Archive for April, 2008
Monday, April 28th, 2008
I failed to mention earlier that this week the Treasury will burden the market with the announcement of the May refunding. That will consist of a new benchmark 10 year note (around $15 billion ) and a reopening of the 30 year bond (around $6 billion.)
They will also recalibrate their ...
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Monday, April 28th, 2008
Some overnight flows in the Treasury market:
Asian buyers of T bills and very short agencies.
Real money buyers of 5s.
Derivative based sellers of 10s.
Hedge fund buyers of 5s.
Central bank seller of off the run 10s.
Japanese seller of 10s.
Central Bank buyer of 2s
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Monday, April 28th, 2008
Prices of Treasury coupon securities have posted mixed results in overseas trading . The yield on the benchmark 2 year note has slipped 2 basis points to 2.40 percent. The yield on the 5 year note is unchanged at 3.18 percent. The yield on the benchmark 10 year note is ...
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Sunday, April 27th, 2008
In my absence I have not spent much time on the blogosphere. Here is an excellent piece by the always cogent Brad Setser on the destination of foreign central bank money recently. He notes the recent huge increase in the custodial holding for central banks at the Federal Reserve Bank ...
Posted in Uncategorized | Comments Off on Some Sunday Evening Links
Sunday, April 27th, 2008
I have not blogged since last Tuesday evening when I entitled a piece “Life Intervenes”. My wonderful parents are in their early and mid 80s and they synchronized their illnesses such that they were each in the same hospital at the same time. They are back at home and doing ...
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Tuesday, April 22nd, 2008
My blogging volumes have suffered the last several days as I have dealt with some health issues of my parents. I will be sporadic again on Wednesday April 23 and should return on Thursday April 24.
Thanks.
JJJ
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Tuesday, April 22nd, 2008
The curve flattening in the Treasury market continues with hardly a pause.The heavy issuance by financial names in new issue corporates has sparked some receiving in the swap market which has contributed to the curve flattening . One salesman at a large shop reported seeing some buying out the curve ...
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Tuesday, April 22nd, 2008
Corporate bond spreads are holding in amidst reports of real money buying. The new issue calendar is crowded with financial names seeking to replenish capital. Goldman Sachs is reopening a 10 year deal. Wachovia Bank is offering a 5 year and Merrill ,which brought preferred stock yesterday, is tapping the ...
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Tuesday, April 22nd, 2008
Over the past week Agency spreads have tightened across the curve by 12 basis points to 17 basis points versus the Treasury market. The outperformance is even greater versus swaps as agencies outperform 15 basis points to 20 basis points. Dealers report huge demand from overseas has been the biggest ...
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Tuesday, April 22nd, 2008
Prices of Treasury coupon securities have registered modest losses in overnight trading. The yield on the benchmark 2 year note has increased by 3 basis points to 2.20 percent. The yield on the 5 year note has climbed 4 basis points and rests at 2.97 percent. (The Treasury is auctioning ...
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