Archive for February, 2009
Friday, February 6th, 2009
A brief excerpt from the end of week research by UBS. It is a light data week with Retail Sales and Trade Balance leading the charge.
More important will be the speech by Secretary of the Treasury Geithner on Monday and his Congressional testimony Tuesday morning. Federal Reserve Chairman Bernanke will ...
Posted in Uncategorized | 6 Comments »
Friday, February 6th, 2009
Prices of Treasury coupon securities declined modestly today in spite of the labor report which showed that the economy deteriorated at a faster clip in 2008 and which continues to sink as 2009 headed into February. The rate of decline is so rapid so pervasive and so widespread that it ...
Posted in Uncategorized | 8 Comments »
Friday, February 6th, 2009
Agency spreads are tighter by 5 basis points in the 2 year and three year sector and by 8 basis points in the 5 year sector. Ten year spreads have narrowed by about 13 basis points. The market is rife with rumors of potential guarantees of all sorts of assets ...
Posted in Uncategorized | 1 Comment »
Friday, February 6th, 2009
The 30 year bond is trading quite well and at one point had returned to unchanged on the day. Traders report real money clients have been better buyers.
Why would they buy in face of the issuance torrent set to begin shortly? The underlying logic is that bonds have backed up ...
Posted in Uncategorized | 12 Comments »
Friday, February 6th, 2009
Mortgages are 3 ticks to 4 ticks tighter to swaps. One salesman and friend of the blog reports that it is not so much buying that has tightened the spread but the fact that there has been heavier paying in swaps.
Swap spreads are all leaking wider. Two year spreads are ...
Posted in Uncategorized | Comments Off on MBS and Swaps
Friday, February 6th, 2009
* The January employment report continues to show deep ongoing losses, with nonfarm payrolls falling by 598k (consensus -540k) and the unemployment rate rising 0.4pts to 7.6%, up from 7.2% in December
* Net revisions to this report reduced the December 2008 level of payrolls by 311k compared to what was ...
Posted in Uncategorized | 1 Comment »
Friday, February 6th, 2009
IG 11 opened 195 1/2 / 199 1/2 tighter by 2 basis points.
Posted in Uncategorized | Comments Off on
Friday, February 6th, 2009
There is nothing good that one can say about the labor report and virtually every category of the report reflects significant economic weakness. I wont belabor the point.
The market is ignoring the report and is reacting to supply as the street is now clear to establish positions in advance of ...
Posted in Uncategorized | 1 Comment »
Friday, February 6th, 2009
The Federal Reserve Bank of New York publishes an economic calendar which lays out clealy upcoming data releases. Many vendors do the same but what makes this site unique, I think, is that it provides a link directly to the data source. So today when you click the link itwill ...
Posted in Uncategorized | 2 Comments »
Friday, February 6th, 2009
Libor US$ Fixing
2/06 2/05 Change
OVERNIGHT 0.31000 0.31625 -0.00625
1 WEEK 0.36125 0.36250 -0.00125
2 WEEKS 0.40625 0.40000 0.00625
1 MONTH 0.44875 0.44750 0.00125
2 MONTH 0.95000 ...
Posted in Uncategorized | Comments Off on Libor