Archive for November, 2008

Corporate Bonds

Thursday, November 6th, 2008

Corporate bonds as measured by IG 11 are about 6 basis points cheaper on the day. The last quote I observed on the IG 11 was 192/194.It has been a rather quiet day and there was virtually no new issuance. Participants are observing the renewal of carnage in the equity ...

Money Market Redux

Thursday, November 6th, 2008

I have not written about the money markets in some time as they have retreated from center stage and have seemingly left the main stage for the wings. As regular readers are aware I speak often with a veteran money market trader for his sage observations on the state of ...

MBS

Thursday, November 6th, 2008

Mortgages stabilized about 1/4 point wider to the benchmark 10 year Treasury. Pension fund investors as well as money managers arrived like the calvary in an old Western to save the day.  Rolls are trading at the equivalent of 3 percent or Libor plus 125 basis points. One large dealer avers ...

Treasury Market

Thursday, November 6th, 2008

The long end of the Treasury market is under pressure this morning. I have two reasons. We are at the low end of the recent trading range and it is prudent to take some profits. There is also a school of thought that the refunding can not be accomplished without ...

Department Store Sales

Thursday, November 6th, 2008

Major retailers are reporting October same store sales today and the results illustrate a glum consumer and presage a difficult holiday season. Walmart had better than expected month which is actually a negative as consumers funnel spending to low end stores. ( If any loyal readers are regular habitues of that ...

IG11

Thursday, November 6th, 2008

An early quote makes the IG 11 191 1/2   193 1/2 versus a 187 close.

ECB

Thursday, November 6th, 2008

The ECB acts also.

Switzerland,Too

Thursday, November 6th, 2008

The Swiss National Bank cut rates by 50 basis points.

Some Opening Comments November 6 2008

Thursday, November 6th, 2008

Prices of Treasury coupon securities are posting mostly muffled gains in overnight trading. Equity markets around the globe followed the sullen example of the US market of yesterday and most major markets are manifesting sizeable losses. Economic data and corporate announcements released overnight illustrate a global economy in a deep ...

Full Libor Chart

Thursday, November 6th, 2008

Libor US$ Fixing 11/06 11/05 Change OVERNIGHT .32750 .32250 .00500 1 WEEK .85000 .93625 -.08625 2 WEEKS 1.18125 1.23750 -.05625 1 MONTH 1.76750 1.95625 -.18875 2 MONTH 2.24875 2.41250 -.16375 3 MONTH 2.38750 2.50625 -.11875 4 MONTH 2.48875 2.62500 -.13625 5 MONTH 2.60125 2.72375 -.12250 6 MONTH 2.69875 2.82375 -.12500 9 MONTH 2.78750 2.90250 -.11500 12 MONTH 2.84125 2.96875 -.12750