Archive for June, 2009

Administrative Note

Tuesday, June 16th, 2009

I was sitting here beginning to compose my closing posts yesterday when I thought there was a forest fire in the room here at Across the Curve corporate headquarters. It turns out that the power supply for this computer was fried and consequently I had to retreat from my outpost here ...

Agency Market

Monday, June 15th, 2009

Agency spreads widened 1/2 basis point in the 2 year sector and are unchanged in other sectors. Market participants reported very subdued levels of activity and a dearth of central bank activity. Later on this week the Open Market Desk is expected to announce a buyback of 2016 through 2032 paper. Freddie ...

Corporate Bonds

Monday, June 15th, 2009

Corporate bond spreads are unchanged. There are still many participants waiting to buy just below the market. Salesmen with whom I spoke  thought that it would require some mini cataclysm to ignite significant spread widening. Spreads have narrowed in some instances to August 2007 levels. I have not quoted the three ...

Miscellany

Monday, June 15th, 2009

Swap spreads are tighter across the curve. Two year spreads are tighter by 2 1/2 basis points. Five year spreads are narrower by 3 1/2 basis points. Ten year spread are tighter by 4 basis points at 25 and thirty year spreads are narrower by 2 basis points at NEGATIVE ...

Musical Interlude

Monday, June 15th, 2009

Now playing at Across the Curve HQ " Let It Bleed" by the popular group from the UK known as the Rolling Stones. Many great songs on this one. Here is a piece of trivia though which i never knew. Al Kooper who played the organ on Dylan's Like Rolling Stone ...

Corporate Bond Open

Monday, June 15th, 2009

Financial names are opening unchanged to a couple of basis points weaker this morning. Here are selected quotes with the change from Friday. BAC 7 5/8 2019    365/355   +2 C 8 1/2 2019   425/420    +2 GS 6 2014      240/230   unchanged JPM 4.65 2014  225/215   +3

Libor

Monday, June 15th, 2009

Libor opened at 0.61438 versus 0.62438 on Friday.

Bond Market Open June 15 2009

Monday, June 15th, 2009

Prices of Treasury coupon securities continued their rebound in overnight trading as comments by the Russian Finance Minister and sharp declines in global equity markets sponsored a strong bid in the US Treasury market. The yield on the 2 year note declined 5 basis points to 1.22 percent. The yield on ...

Bond Market Close June 12 2009

Friday, June 12th, 2009

Prices of Treasury coupon securities are posting solid gains again today as the rally which began yesterday continued today. For a host of reasons regarding the impulse for today's price gains, please refer to this post on swaps and mortgages and vol. The yield on the 2 year note slipped5 basis ...

Corporate Bonds and Agency Bonds

Friday, June 12th, 2009

Agency spreads are a couple tighter on the day. Two year and three year sector bonds are two basis points tighter. Five year and 10 year agencies are 3 basis points tighter. The Federal Reserve purchased about $ 3.4 billion of 4 year through 6 1/2 year paper. The tone is firm ...