Federal Reserve Policy
Wednesday, May 20th, 2009An interesting article from the FT which discusses Rederal Reserve thoughts on future economic growth. The article posits slower growth,benign inflation and low rates for an extended period.
Archive for May, 2009
An interesting article from the FT which discusses Rederal Reserve thoughts on future economic growth. The article posits slower growth,benign inflation and low rates for an extended period.
Buybacks Today
Wednesday, May 20th, 2009The Open Market Desk will intervene in the interest rate market twice today. It will purchase Treasuries which mature between February 2016 and May 2019. It will also wave in agency debt which matures between May 2013 and October 2015.
IG 12 and Some CDS
Wednesday, May 20th, 2009- 5yr Snr Bank CDS: BAC 163/173 (-5), CITI 355/375 (-5), JPM 100/110 (unch), WFC 105/115 (unch) - 5yr Snr Broker CDS: GS 155/165 (unch), MS 250/260 (unch) - CDS Index: IG12 140/141.5 (-4.5)
Musical Interlude
Wednesday, May 20th, 2009I am a junkie for Bob Dylan covers. One of the very best and a unique one is by a group with the odd name of Mary Lee's Corvette. The group has published a live version of a session in which they covered the Dylan classic album "Blood on the Tracks ...
Libor
Wednesday, May 20th, 2009Three month Libor on its way to zero as it set .03625 basis points lower at 0.71625. Some one requested 12 month Libor yesterday.It is lower by .03375 basis points at 1.54875.
Selected Corporate Bond Quotes
Wednesday, May 20th, 2009JPM 5 year 257/252. The issue had traded as tight at 247 yesterday. GE 5 year 353/348. That is slightly tighter than the 355/350 market i noted yesterday. Citibank 5 year is 510/505 and that was 515/510 yesterday.
Bond Market Open May 20 2009
Wednesday, May 20th, 2009Prices of Treasury coupon securities are virtually unchanged in overnight trading. The yield on the 2 year note dipped a basis point to 0.87 percent. The yield on the 3 year note edged lower by a basis point, also, and rests at 1.35 percent. The other benchmark securities which I ...
Japan GDP
Wednesday, May 20th, 2009Japanese GDP fell 4 percent in Q1 and when annualized the rate of decline is a rather stunning 15 percent. Whither the green shoots there (no pun intended)?
GM
Tuesday, May 19th, 2009Reuters reports that in the initial stages of a GM bankruptcy filing the taxpayers would own the reorganized company. The ownership split between creditors and the union is being discussed as we speak. The weekend in March 2008 when the government bailed out Bear Stearns and brokered its marriage to JPM ...
Corporate Bonds
Tuesday, May 19th, 2009I forgot corporate bonds today. Corporate bonds are still quite firm and demand is still robust but the market has retreated from the richest levels of the day.Bank and finance paper which was once 10 basis points to 20 basis points tighter is now about 10 tighter. Industrials were 10 tighter early ...