Archive for August, 2008
Tuesday, August 26th, 2008
Mortgages are finishing the day about 2/32 tighter to the swap market. There was some buying by hot money types and servicers but flow was very light.Swap spreads tightened by 3 basis points in the 2 year sector, 2 ½ basis points in the 5 year sector and 2 basis ...
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Tuesday, August 26th, 2008
The corporate bond market is a little softer than when I reported on it earlier. The IG 10 is 144 ¼ /145 currently. There is very little cash trading and the market has a heavy feel about it. One salesman noted that it felt heavier yesterday than Friday and today ...
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Tuesday, August 26th, 2008
Agency spreads are unchanged after an initial flurry of tightening. There is a $3billion Home Loan global deal which is being priced later in the week and it has dampened sentiment. The issue is being market at T+ 133 basis points. (For the uninitiated the deal prices off the 2 ...
Posted in Uncategorized | Comments Off on Agency Market
Tuesday, August 26th, 2008
The IG 10 is wrapped around 144. In the middle of the day yesterday the index was trading around 147. Once again there is very little business being transacted in the cash market.Lehman is quoted 365/375 as the euphoria from the Korean takeover story fades. It traded as tight as ...
Posted in Uncategorized | Comments Off on Corporates
Tuesday, August 26th, 2008
Goldman Sachs is out with a report which says that a government sponsored bailout of FNMA and Freddie Mac is entirely manageable, according to a CNN story.
I have the news story and I suppose there is an entire research report with all the details. The CNN story makes it sound ...
Posted in Uncategorized | 6 Comments »
Tuesday, August 26th, 2008
Commentary from HSBC on Case Shiller:
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Tuesday, August 26th, 2008
Mortgages are opening 2 ticks tighter to swaps. Trading volumes in the early hours are light.One dealer note posited that the mortgage basis should improve into month end as buyers emerge.
There is also quite a bit of focus on a quarterly report from the FDIC which will be available later ...
Posted in Uncategorized | Comments Off on MBS
Tuesday, August 26th, 2008
I did not pick this up yesterday but it is worth mentioning. Freddie sold 3 month bills and 6 month bills yesterday and stock jockeys allegedly took that as a reason to rally the stock.
First of all it was only$1 billion of each. That is a piddling amount and in ...
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Tuesday, August 26th, 2008
Central Bank and Hedge Fund sellers of 10 years.
Central Bank buyers of 2 years.
Central bank buyers of callable agencies.
Japanese receivers in 2year and 3 year sectors.
Posted in Uncategorized | Comments Off on Some Overnight Flow
Tuesday, August 26th, 2008
Prices of Treasury coupon securities are registering small mixed changes in overnight trading. The gloom which hung over the US markets yesterday remains today and motivated trading in foreign markets.Asian equities fell in sympathy with the steep decline in US equities and as the concerns of investors in that region ...
Posted in Uncategorized | Comments Off on Opening Comments 08/26/08