Archive for November, 2008
Thursday, November 20th, 2008
JPMorgan economists are predicting that the Fed will reduce rated by 50 basis points at each of the next two meetings. That would bring the target to zero. Here is the note from JPM:
We now look for a 50bp cut in the target fed funds rate at the December 16 ...
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Wednesday, November 19th, 2008
Prices of Treasury coupon securities posted gains today but the extent of the gains depended on the point on the yield curve at which the security resided. The yield on the 2 year note slipped 6 basis points to close at1.07 percent. The yield on the 3 year note dropped ...
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Wednesday, November 19th, 2008
I had not watched the agency market today but it is undergoing an historic meltdown of its own. (I should sponsor a contest in which the winner supplies me with a synonym for meltdown which I am overusing. First prize is a free subscription to Acrossthecurve.com.) The 2 year benchmark ...
Posted in Uncategorized | 8 Comments »
Wednesday, November 19th, 2008
By Gabrielle Coppola and Caroline Salas
Nov. 19 (Bloomberg) -- Yields on speculative-grade
corporate bonds surpassed 20 percent for the first time in at
least two decades as a declining economy increased the risk of
default. ...
Posted in Uncategorized | 4 Comments »
Wednesday, November 19th, 2008
The corporate bond market had experienced a renaissance or revival of sorts over the last several weeks. The implosion in the CMBS market as well as the persistent weakness in the equity market has drained that sanguine attitude and substituted the melancholic mindset which had prevailed previously.Participants report that there ...
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Wednesday, November 19th, 2008
The implosion of the CMBS market continues today. AAA tranches of the CMBX are 100 basis points wider. Cash bonds are 200 basis points wider.As an aside, I lack proficiency in the world of CMBS so if someone sees an error please jump in and correct me.
Anyway, the cash AAA ...
Posted in Uncategorized | 6 Comments »
Wednesday, November 19th, 2008
I am back in the trenches. While I was away, CDS on Uncle Warren's baby traded in the mid 500s. Someone thought 560 but was not 100 percent certain. The last quote reflects alot of tightening as they are 450/500.
IG 11 is now 237 1/2 /239 1/2 after opening 232/235.
Posted in Uncategorized | 5 Comments »
Wednesday, November 19th, 2008
CMBS AAAs are opening widerby 40 basis points. So the bleeding continues.
I have personal business and will not blog until around noon. It is currently about 900AM. The time on the blog is incorrect and I will have the IT Department correct that.
Posted in Uncategorized | 2 Comments »
Wednesday, November 19th, 2008
IG 11 opening about 5 wider at 232/235.
Posted in Uncategorized | 2 Comments »
Wednesday, November 19th, 2008
Libor US$ Fixing
11/19 11/18 Change
OVERNIGHT .43750 .40000 .03750
1 WEEK .91875 .94375 -.02500
2 WEEKS 1.12500 1.13750 -.01250
1 MONTH 1.41375 ...
Posted in Uncategorized | Comments Off on Libor Opening