Archive for January, 2009

MBS

Monday, January 26th, 2009

Mortgages are about a basis point tighter in very light trading. China was closed so there was no overseas buying. On the other hand origination selling has been minimal thus far.Many investors are on the sidelines awaiting the outcome of the FOMC later this week. 

Caterpillar

Monday, January 26th, 2009

Caterpillar reported earnings this morning and the news was less than festive. The company missed estimates for Q4 and warned that 2009 earnings would significantly undershoot analyst estimates. Analysts had forecast earning of $4.27 for 2009 while the company said that earnings would be about $2.50.  In response to the ...

IG 11

Monday, January 26th, 2009

IG 11 opening two tighter at 204/207

Interesting Point

Monday, January 26th, 2009

One dealer who puts out a regular morning piece but from which I do not have permission to quote directly notes that purchases of US assets from Japan have diminished of late. The writer noted that the observation was purely attributable to the anecdotal evidence at his firm. He also ...

Freddie Mac

Monday, January 26th, 2009

I am operating this week from my daughter's apartment in Chicago. Consequently, I am using her Apple computer with which I am not quite so facile as I am on my home computer. So I will have some problems linking for now.I mention that because some one emailed me a ...

FX

Monday, January 26th, 2009

The British pound showing some improvement today though it is hard to say if it is doing anything other than an imitation of a moribund feline striking the pavement.Barclays has announced it will show some profit in 2008 and that it would not have need to raise new capital.The government ...

Monday, January 26th, 2009

Prices of Treasury coupon securities have slumped again in overseas trading as the specter of government bond supply becomes harsh reality this week. This week the Treasury will seek buyers for 20 year TIPS, 5 year notes and 2 year notes. Sandwiched in between the heavy round of financing will ...

Baby Pictures

Friday, January 23rd, 2009

Here is a link to the website of my daughter and son-in law which has several pictures of their newborn, Charlotte.

Swaps and Agency

Friday, January 23rd, 2009

Agency spreads are mixed this morning. Two year spreads are tighter by 2 basis points. Five year spreads are wider by one basis point and 10 year spreads are unchanged.Swaps spreads are leaking wider. Two year spreads are three basis points wider at 69. Five year spreads are 1 1/2 ...

MBS

Friday, January 23rd, 2009

Mortgages are opening about three ticks tighter to Treasuries this morning.  The level of activity is light. Originators have been sellers but modestly so while the Federal Reserve has ben soaking up about $5 billion per day.