IG 11
Wednesday, December 10th, 2008The IG 11 is opening 261 1/2 /264 1/2 which is about 3 basis points narrower than the previous close.
Archive for December, 2008
The IG 11 is opening 261 1/2 /264 1/2 which is about 3 basis points narrower than the previous close.
Bear Food
Wednesday, December 10th, 2008The Q ratio which values companies based on their replacement value predicts a very ugly end to the equity market decline. And a thanks to loyal reader and friend of the blog RB for passing this along. In the interest of full disclosure, I have a very small long position in ...
Libor Chart
Wednesday, December 10th, 2008Libor US$ Fixing 12/10 12/09 Change OVERNIGHT .12500 .14000 -0.01500 1 WEEK .49375 .60000 -0.10625 2 WEEKS .72750 .82375 -0.09625 1 MONTH 1.43875 1.63500 ...
Some Opening Comments December 10 2008
Wednesday, December 10th, 2008Prices of Treasury coupon securities are retreating in overnight trading as the prospect of an agreement on an auto industry bail out, equity market stability and a dollop of supply today from the Treasury combine to deflate sentiment.The yield on the 2 year note has climbed 4 basis points to ...
CMBX and ABX
Tuesday, December 9th, 2008ABX are one point to two points higher today. One trader noted that there seems to be a bit of a short sqeeze in this sector and made particular note of the 06-1 AAA tranche. CMBA unchanged to 10 wider.
Closing Comments December 09 2008
Tuesday, December 9th, 2008Prices of Treasury coupon securities surged today, as waves of buyers emerged across the Treasury curve. One dealer noted that it felt as though investors were short duration and needed to own something. He observed pension fund, money manager and insurance company buying of the long end. I also heard ...
Mortgages
Tuesday, December 9th, 2008Mortgages are about 5 ticks to 6 ticks better than Treasury debt this morning. Originators have been modest sellers and that flow has been met by purchases from money managers and banks. One dealer reports the buying is concentrated in 5 1/2s and 6s.
Better Late Than Never
Tuesday, December 9th, 2008CMBX has another strong day yesterday. AAA tranches rallied 90 basis points to 120 basis points. AJ slices rallied 120 basis points and lower ranking slices of the capital structure rallied about 120 basis points. In ABX land the top of the capital structure rallied between 1 point and 3 1/2 ...
Point of Interest
Tuesday, December 9th, 2008The prior posting presented an opening run of FDIC bonds and quotes for those bonds as trading begins today. A friend of the blog forwarded them to me and I sanitized them a bit for presentation here. I am reasonably sure ( I have not asked) that the kind reader who ...