Archive for March, 2009
Tuesday, March 10th, 2009
Agency spreads are unchanged in the 2 year sector and are 3 basis points tighter in 5 years, 10 years and 30 years.
The Federal Reserve injected nearly $ 1.8 billion of permanent reserves into the system when the helicopter lifted off the tarmac at 33 Liberty Street and returned to ...
Posted in Uncategorized | 8 Comments »
Tuesday, March 10th, 2009
The IG 11 is now 253 /254. The first quote I saw this morning was 258 1/2 /260 1/2.
Secondary paper had been tighter by as much as 10 basis points but has retreated somewhat in subsequent trading.
Maybe issuance weighs on the market as Boeing, Halliburton and CVS have announced benchmark ...
Posted in Uncategorized | Comments Off on Corporate Bonds
Tuesday, March 10th, 2009
The UK sold 3 billion pounds of 10 year gilts today. In anticipation of government purchases tomorrow bonds have rallied significantly the last few days. That rally damped interest in the auction and the result produced a 1.8 basis point tail as well as a market which retreated after the ...
Posted in Uncategorized | 8 Comments »
Tuesday, March 10th, 2009
The IG 11 is opening 3 basis points tighter at 258 1/2 /260 1/2.
Bloomberg is running a story about Mexican cement maker Cemex. They called their bankers about a $ 14billion matter. The matter is that they can not make timely payments and they need a fix.
http://www.bloomberg.com/apps/news?pid=20601086&sid=abmq_gfZIEwo&refer=latin_america
Posted in Uncategorized | 1 Comment »
Tuesday, March 10th, 2009
Prices of Treasury coupon securities have sagged in overnight trading as the rebound in the stock market and anticipation of supply weigh on sentiment. The yield on the 2 year note has edged higher by 3 basis points to 0.99 percent. The yield on the 3 year note has worked ...
Posted in Uncategorized | 2 Comments »
Monday, March 9th, 2009
Prices of Treasury coupon securities are posting mostly marginal losses across the yield curve today. Only the 30 year bond has suffered even a modest loss as its yield has climbed 4 basis points to 3.59 percent. The yield on the 2 year note has edged higher by 2 basis ...
Posted in Uncategorized | 12 Comments »
Monday, March 9th, 2009
Corporate bonds are virtually unchanged from levels which prevailed at the commencement of trading this morning. One salesman said that it felt as though spreads wanted to break wider but nothing was trading. Industrial names have a firm tone and financial sector names , as is their wont, feel heavy.
There ...
Posted in Uncategorized | 2 Comments »
Monday, March 9th, 2009
The Federal Reserve escaped from its comfortable cocoon of certainty today and confounded agency traders by including longer maturity agencies in an agency coupon pass scheduled for tomorow. Previously they had not purchased bonds with maturities longer than 2017.
This time the Fed has included a series of GSE bonds in ...
Posted in Uncategorized | Comments Off on Agency Market
Monday, March 9th, 2009
The Treasury market is under pressure and its fortunes wax and wane along with the stock market. For the moment stocks are range bound and that provides bond traders the latitude to set up for supply later on this week. ( Like tomorrow.)
I have heard of central bank selling in ...
Posted in Uncategorized | 2 Comments »
Monday, March 9th, 2009
Corporate bonds are opening about 5 basis points wider in very light trading.
One friend of the blog noted a heightened level of nervousness and apprehension in the market place. Some worry about the quarter end process and suspect that conservation of balance sheet will foster illiquidity and wider spreads.
Here is ...
Posted in Uncategorized | 1 Comment »