Archive for February, 2009
Tuesday, February 10th, 2009
Several corporate bond market participants noted a low level of activity. The only exception was one salesman who had observed active position squaring in front of the Geithner speech.
Bank and finance paper is 5 basis points to 15 basis points wider amidst chagrin over the bailout package. Quality industrial names fared ...
Posted in Uncategorized | Comments Off on Corporate Bonds
Tuesday, February 10th, 2009
The markets are rendering a very harsh judgment on the “plan” offered by the Obama Administration. The market in its infinite wisdom has proclaimed that the plan does not amount to a hill of beans and is a pile of less than pithy platitudes.
The yield curve is flattening dramatically. ...
Posted in Uncategorized | 7 Comments »
Tuesday, February 10th, 2009
In the midst of the Geithner hoopla the Treasury will auction $32 billion of 3 year notes today. I thing the auction will receive a hearty and enthusiastic reception from the various players in the fixed income market.
On an outright basis it has cheapened significantly from the 0.89 percent level ...
Posted in Uncategorized | Comments Off on Three Year Auction
Tuesday, February 10th, 2009
Mortgages have gyrated and pirouetted about and are 3 ticks tighter on the day. They had been as much as 8 ticks tighter though much of that outperformance resulted from buying late yesterday.
Orignators have been chunky sellers as have money managers. Some of the money manager selling has been outright ...
Posted in Uncategorized | 1 Comment »
Tuesday, February 10th, 2009
Two readers forwarded this from MNI which is an excellent source of market information.
WASHINGTON (MNI) - The following is a summary of the prepared
remarks of Treasury Secretary Timothy Geithner remarks to be delivered
at 11:00 ET as obtained by Market News International:
OVERVIEW OF FINANCIAL STABILITY PLAN
The Plan will do four things:
...
Posted in Uncategorized | 8 Comments »
Tuesday, February 10th, 2009
Agencies and swaps each tightening to benchmark Treasuries. Swaps are tighter by about a basis point across the curve.
Agencies are two basis points tighter in the 2 year sector and three basis points tighter in the 5 year sector and 10 year sector.
Posted in Uncategorized | Comments Off on Agency and Swaps
Tuesday, February 10th, 2009
The IG 11 opened today a basis point wider at 187 1/2 189 1/2.
I never thought I would be doing this and you can accuse me of being overly proud grandfather but these are the cutest pictures of any approximately 2 1/2 week old baby that I have ever seen.
Here ...
Posted in Uncategorized | 5 Comments »
Tuesday, February 10th, 2009
A friend of the blog has sent along a note which demonstrates the enormous funding appetite of the Treasury.
At 1130 New York time (is there any other) the Treasury will sell $36 billion 4 week bills and $23 billion year bills.
At 100 PM New York time the refunding will begin ...
Posted in Uncategorized | 5 Comments »
Tuesday, February 10th, 2009
Libor US$ Fixing
2/10 2/09 Change
OVERNIGHT 0.30500 0.30750 -0.00250
1 WEEK 0.35625 0.35375 0.00250
2 WEEKS 0.40250 0.40188 0.00062
1 MONTH 0.44688 0.44688 0.00000
2 MONTH 0.93688 ...
Posted in Uncategorized | 1 Comment »
Tuesday, February 10th, 2009
Prices of Treasury coupon securities have continued to grind higher in overnight trading.
I play chess on Monday evenings (very average player) and lost one game last night and won another. The game which I lost was not lost because of a single bad move but because of an accumulation ...
Posted in Uncategorized | 4 Comments »