Health Care Reform Bill
Friday, June 19th, 2009First draft of the proposed health care reform. It looks like a cool crisp 850 pages.
Archive for June, 2009
First draft of the proposed health care reform. It looks like a cool crisp 850 pages.
Bond Market Close June 19 2009
Friday, June 19th, 2009Prices of Treasury coupon securities are registering modest gains today as they erase some of the steep losses of yesterday. There was stability in the mortgage market and a modicum of that in the swap market. There was some client buying of mortgages and the belly of the Treasury curve ...
MBS and Vol and Swaps
Friday, June 19th, 2009Swap spreads are mixed today and the level of customer activity is subdued. One derivative salesman and longstanding friend of the blog cited some modest convexity related receiving. Two year spreads are narrower by 2 basis points at 48 1/2. Five year spreads are 1 1/4 basis points narrower at 44 ...
Corporate Bonds
Friday, June 19th, 2009Corporate Bond spreads are unchanged in very quiet trading. There was one new issue from an oil and gas partnership with the somewhat flamboyant name of Magellan Midstream Partners. The entity sold $300 million 10 year notes at a spread of T+ 280. The initial talk was in the 300s and ...
Agency Market
Friday, June 19th, 2009Agency spreads are mixed. The 2 year sector is narrower by about 3 basis points. The 5 year sector is wider by a basis point. The 10 year sector is about 2 basis points tighter. The 2 year sector benefited from a buyback of that paper by the Open Market Desk. ...
Treasury Market
Friday, June 19th, 2009The Treasury market has done an about face and is higher across the board. What has caused the turnaround? Mortgages have stabilized and are now 2 basis points to 3 basis points wider to swaps. Earlier they were 3basis points to 4 basis points wider. There has been end user buying in the ...
Health Care Reform
Friday, June 19th, 2009There have been several articles in the press today which suggest that the drive to nationalize health care is slowing as the reformers are discovering that the cost is exorbitant. Apparently the CBO scored one of the bills and discovered that the implementation would cost $ 1.6 trillion over the next ...
Thoughts on the Fed’s Balance Sheet
Friday, June 19th, 2009Here is an excerpt from a piece by analysts and economists at Brown Brothers. I think it nicely summarizes why inflation fears are overblown. It begins following the colon: Various credit spreads, like LIBOR-OIS and TED would suggest there has been a dramatic improvement in capital markets. The rally in the ...
Agency Buyback
Friday, June 19th, 2009The Federal Reserve is conducting a purchase of Agency paper in the June 2010 through June 2011 sectors. Results will be available shortly after 1100AM.
MBS and Swaps
Friday, June 19th, 2009Mortgages are 3 basis points to 4 basis points wider to swaps now. Swap spreads are wider across the curve. Two year spreads are 1/2 basis point wider at 50 1/2. Five year spreads are 1/2 basis point wider at 45 1/2. Ten year spreads are 1 1/2 basis points wider ...