Archive for July, 2008
Wednesday, July 9th, 2008
Prices of Treasury coupon securities are surging to higher prices today as credit fears and economic concerns batter stocks. The respite for the GSEs was a brief one day hiatus and Freddie Mac stock is down close to 20 percent today. The XLF, an ETF, which tracks large financial is ...
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Wednesday, July 9th, 2008
The Treasury market has been quiet today and the price action has been rather uninteresting.
I did speak with a trader of the long end of the Treasury market who did point out some interesting anomalies in his sector.
He noted that bonds which mature in 2031 have cheapened relative to 2036 ...
Posted in Uncategorized | Comments Off on Anomalies Across the Curve
Wednesday, July 9th, 2008
As I have mentioned several times I receive quite a bit of economic and company specific research here at the nerve center of Across the Curve.I came across an interesting research piece this morning from a Credit Suisse analyst, Timothy Doern.
He is quite negative on the banking sector and does ...
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Wednesday, July 9th, 2008
*MERRILL LYNCH S-T IDR AFFIRMED BY FITCH :MER US
*MERRILL LYNCH L-T ISSUER DEFAULT RATINGS MAY BE CUT BY FITCH
*FITCH PLACES MERRILL LYNCH'S 'A+' IDR ON RATING WATCH NEGATIVE
Fitch Places Merrill Lynch's 'A+' IDR on Rating Watch Negative
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Wednesday, July 9th, 2008
Plain vanilla pass through mortgage paper is surging out of the gate. There was some buying by Asian clients and end users and speculators have joined the fray this morning.
At the current time, MBS has outperformed the 5 year by about 1/4 point.
One market participant has suggested that the speed ...
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Wednesday, July 9th, 2008
The ABX market is opening firm this morning and based on some dealer indications seems to be, on balance, about ΒΌ point higher across the various tranches.There was a $600 million BBB bid list which traded yesterday. One dealer noted that the list traded well. The 06-2 paper traded in ...
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Wednesday, July 9th, 2008
Some overnight flows in the Treasury complex:
Commercial bank buying of 2 years.
Mixed flows in 10years as specs are sellers and banks are buyers.
Prop desks buying 30 year sector versus 5 year sector.
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Wednesday, July 9th, 2008
Prices of Treasury coupon securities have posted modest declines in overnight trading as the safe haven demand for Treasury securities diminishes. Most equity markets in Asia and Europe advanced as credit fears abated. Some investors took solace in the sanguine remarks of JPMorgan head honcho Jamie Dimon who remarked that ...
Posted in Uncategorized | Comments Off on OPening Comments July 9 2008
Tuesday, July 8th, 2008
Prices of Treasury coupon securities have registered bifurcated results today. The curve has flattened with the out performance of the longer maturities as the fear of financial Armageddon which seemed imminent yesterday has quickly retreated today. The frantic purchasing of 2 year notes, which characterized flows yesterday, was not evident ...
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Tuesday, July 8th, 2008
Agency spreads have recovered from the carnage of yesterday and are about 3 basis points tighter across the curve. There was robust demand from an eclectic group of real money and prop desk buyers. One trader noted that the buying was substantive and included off the run bonds. These bonds ...
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