Archive for June, 2009

Indirect Bids

Tuesday, June 23rd, 2009

As I have mentioned the Treasury will sell $ 40 billion 2 year notes at 100PM New York time. There is always interest in the indirect bidding category as it is a proxy for central bank demand. Over the last three months that bidding interest has averaged 45 percent of the ...

Miscellany

Tuesday, June 23rd, 2009

Swap spreads are a wider across the curve. Two year spreads are a basis point wider at 47. Five year,ten year and thirty year spreads are 2 basis points wider at 44 1/2, 27, and NEGATIVE 12 1/2,respectively. The Open Market Desk is buying back 5year through 7 year agencies today. ...

Merck Update

Tuesday, June 23rd, 2009

PRICED     CURRENT 2YR          75        67/62 6YR         137.5     125/120 10YR        140       131/126 30YR        145       132/127

Yesterday

Tuesday, June 23rd, 2009

As I noted in an earlier post hosting problems force me from my perch yesterday and all of my mind droppings disappeared from the blog. An anonymous reader who receives the blog via an RSS feed preserved my words .  I am now cutting and pasting all of that here for ...

Merck Deal

Tuesday, June 23rd, 2009

Yesterday the electronic gods chased me from my   platform here in cyberspace and I missed the Merck pricing.  Here are the details and current levels: The $ 1.25 billion 2 year notes priced at T+75 and are currently quoted 66/63. The $ 1 billion 6 year bonds priced at T + ...

Libor

Tuesday, June 23rd, 2009

Libor opened at 0.6075 this morning versus 0.61 yesterday.

Bond Market Open June 23 2009

Tuesday, June 23rd, 2009

Prices of Treasury coupon securities are registering modest losses in overnight trading. The market posted solid gains yesterday and the losses overnight represent a partial retracement of the equity market driven gains from yesterday. Major Asian stock markets slumped in sympathy with US market declines but European markets have stabilized ...

JPMorgan on “Exit Strategies”

Tuesday, June 23rd, 2009

This is an excerpt from a very long piece by JPMorgan economists which discussed management of the Federal Reserve balance sheet and various exit strategies from the array of unconventional policies which the Fed currently employs. When will the Fed hike rates? The FOMC has stated an intention to keep rates low ...

Glitch

Monday, June 22nd, 2009

There was a serious technical glitch on Monday June 22 2009. Everything which I composed has been lost and is floating around somewhere in electronic limbo. It looks as though things are working now and all should be well on Tuesday June 23 2009. My apologies.

Testing

Monday, June 22nd, 2009

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