Archive for January, 2009


Thursday, January 29th, 2009

A staunch friend of the blog passes along a note that MBS are opening with minimal changes versus Treasuries. There was some heavy selling late yesterday and the overhang of that supply should clog the market for a bit. However,the FOMC statement manifests the continued support of the Federal Reserve for ...

Corporate Supply

Thursday, January 29th, 2009

ConocoPhillips to Sell, 5-, 10-, 30-Year Notes as Soon as TodayGeneral Mills Plans to Sell 10-Year Notes in Benchmark Offering*AT&T TO SELL 5-, 10-, 30-YR NOTES IN BENCHMARK OFFERING   :T USHess Plans to Sell 5-, 10-Year Notes in a Benchmark Offering I mentioned the ATT deal and the General Mills deal ...

JPMorgan on the Weekly Jobless Claims

Thursday, January 29th, 2009

Initial and continuing jobless claims point to another large payroll decline in January and a decent increase in the unemployment rate. Initial jobless claims for the week ending January 24 rose to 588,000 from 585,000 in the previous week (revised from 589,000) and the four-week average of claims was 542,500. Continuing claims in the ...

Treasury Commentary

Thursday, January 29th, 2009

The Treasury market is setting up for the massive 5 year note auction today ($ 30 billion). The 2year/10 year curve traded prior to the FOMC statement in the low 160s. That spread this morning is trading in the low 180s. Investors are punishing profligate taxpayers for prodigious spending.

Corporate Bonds

Thursday, January 29th, 2009

Some early action in the new issue market for corporate bonds. ATT is offering benchmark size in 5year,10 year and 30 year. General Mills is offering a benchmark 10 year.

IG 11

Thursday, January 29th, 2009

IG 11 opening 2 basis points wider are 193/195.


Thursday, January 29th, 2009

                 1/29         1/28      ChangeOVERNIGHT     0.22125      0.22375    -0.002501 WEEK        0.31625      0.30875     0.007502 WEEKS       0.36625      0.35750     0.008751 MONTH       0.41250      0.40938     0.003122 MONTH       0.90500      0.90563    ...

Repairing Banking System My Require Another $1 Trillion or $2 Trillion:WSJ

Thursday, January 29th, 2009

The WSJ is carrying a story which bandies about the above numbers as the amount of money which the Administration may need to repair the banking system.

UBS on FOMC Statement: Very Long For This Blog But Very Pithy

Thursday, January 29th, 2009

FOMC signals no let-up in easing   Some encouragement for Treasury buying expectations—but less than markets priced in? Today’s FOMC statement was very similar to the preceding version on December 16. Similar to last time, officials signaled their intention to keep the funds rate “exceptionally low…for some time” and to supplement that stimulus ...

HSBC on the FOMC Statement

Wednesday, January 28th, 2009

The Fed kept the fed funds rate target range unchanged, as expected, at 0-0.25%, and repeated its commitment to keep rates low “for some time”. The statement said the economy has “weakened further”, highlighting industrial production, housing starts, employment, consumption and business have all declined.  However, on the outlook, the ...