Archive for July, 2008
Wednesday, July 23rd, 2008
Agency spreads are 2 basis points to 3 basis points tighter in the 2 year sector and 4 basis points to 5 basis points tighter in the 5 year sector. Ten year sector paper has rallied about 5 basis points to 6 basis points. Dealers reported some money manager buying ...
Posted in Uncategorized | 1 Comment »
Wednesday, July 23rd, 2008
Corporate bonds are maintaining the firm tone which prevailed this morning. The IG10 is essentially unchanged from levels I quoted earlier in the day as a dealer just quoted it 131/132.As I mentioned earlier the new issue spigot reopened today and investors greeted the new supply with hearty accolades. DuPont ...
Posted in Uncategorized | Comments Off on Corporate Bonds
Wednesday, July 23rd, 2008
Some comments from economists at HSBC on the Fed Beige Book:
HSBC: US Beige Book - Input Price Pressure, Wages Modest
* Growth was mixed across regions as 5 districts noted
weakening economies, 2 saw stable activity or no growth, and
the remaining 4 ranged ...
Posted in Uncategorized | Comments Off on HSBC on the FED Beige Book
Wednesday, July 23rd, 2008
The euphoria in other spread markets has leaked over to the corporate bond market. The IG 10 is several basis points tighter on the day. One participant, a commission salesman, notes that today is shaping up as the busiest day of trading of secondary market cash bonds in several weeks, ...
Posted in Uncategorized | Comments Off on Corporates Bonds
Wednesday, July 23rd, 2008
Agency spreads are now about 5 basis points tighter across the curve. They are also registering gains versus Libor. One salesman with whom I regularly converse attributes the gains to the belief that the GSE bailout will soon pass. And then all will be well with the world.
Posted in Uncategorized | Comments Off on Agency Update
Wednesday, July 23rd, 2008
Mortgages are now 10/32 tighter to the 10 year and dealers report that the only flow is buying.
Posted in Uncategorized | Comments Off on MBS
Wednesday, July 23rd, 2008
Mortgages are opening about 2 ticks tighter this morning. One commentator notes that this is the first instance recently in which the asset class has tightened in down trade.Agency spreads are about 3 better this morning. Asian clients purportedly bought the 5 year sector. Optimism still abounds in the sector ...
Posted in Uncategorized | 2 Comments »
Wednesday, July 23rd, 2008
Prices of Treasury coupon securities have posted sharp losses in overnight trading. The surge in equity markets around the globe continues as the price of oil touched a new low overnight. European stocks are higher by about 1.5 percent. The Nikkei gained 0.7 percent and the Hang Seng posted a ...
Posted in Uncategorized | 4 Comments »
Wednesday, July 23rd, 2008
A loyal reader, M, posted this story in the comment section of my previous post. The first paragraph of the story sets the tone and the entire piece is worthwhile reading:
New Zealand's third largest financial services group with assets of over $1 billion, Hanover Finance Ltd, today suspended repayment of ...
Posted in Uncategorized | 2 Comments »
Tuesday, July 22nd, 2008
Prices of Treasury coupon securities fell sharply today as supply fears and hawkish comments from a Federal Reserve official spooked the markets. The yield on the benchmark 2 year note climbed 10 basis points to 2.69 percent. The yield on the benchmark 5 year note jumped 9 basis points to ...
Posted in Uncategorized | 5 Comments »