Archive for November, 2013
Thursday, November 7th, 2013
Love Story was a hideously poor novel written by Erich Segal and subsequently a very banal and lachrymose movie starring Ryan O Neal and Ali MacGraw. The book and the movie were each very popular in the late 1960s and early 1970s. The tagline from the movie was, "Love means ...
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Thursday, November 7th, 2013
The Treasury curve has reversed course rather dramatically over the course of the day. The 5 year/30 year spread about which I write incessantly is back to about 241 basis points. This morning it was north of 245 after trading as narrow as 235 early in the week. Similarly the ...
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Thursday, November 7th, 2013
Corporate bond spreads remain parsimonious. I spoke with a fully paid up subscriber who works at a firm at which the main qualification is knowing how to multiply by 40 percent. (For the uninitiated he is a commission salesman at a small shop and the basis commission is 40 percent.) ...
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Thursday, November 7th, 2013
Post GDP report dealers have observed better selling in the 5 year sector and fast money taking profits on profitable steepeners (5s 10s and 5s 30s).
Inventory accumulation bolstered the GDP number and a little over 0.8 percent of the game came from that component. In addition,personal consumption contributed to the ...
Posted in Uncategorized | Comments Off on Treasury Market
Thursday, November 7th, 2013
I spoke with a full paid up subscriber who sits in the FX market to gather intelligence on flows post the rate cut and during Draghi comments. He reports that fast money types are selling Euros and corporates are better buyers. He noted that 1.3340 is the 100 day moving ...
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Thursday, November 7th, 2013
There is quite a bit of Fedspeak today and tomorrow with Dudley and Stein today and Lockhart and Williams tomorrow.
I believe that Ms Yellen will perform at her confirmation hearing one week from today on November 14th.
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Thursday, November 7th, 2013
Prices of Treasury coupon securities have edged higher overnight in a somnolent session as investors and traders await an information tsunami today and tomorrow with ECB and Bank of England on the monetary front and initial claims and GDP and the labor report in US. While we wait for that ...
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Wednesday, November 6th, 2013
The City of New York has enjoyed a renaissance over the last two decades under the stewardship of the sometimes acerbic Rudy Giuliani and then under his successor, technocrat and preeminent manager Michael Bloomberg. One can find fault with each of those gentlemen. Giuliani could have been kinder and gentler ...
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Wednesday, November 6th, 2013
Swap spreads in the belly of the curve are tighter by 1/2 basis point to 1 basis points. I have heard of some folks long duration taking profits here. However, the corporate calendar remains robust and swapped issuance is a powerful force keeping spreads on the narrow side. And if ...
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Wednesday, November 6th, 2013
The curve steepening story remains the story of the day. The belly of the Treasury curve is en fuego while the Long Bond trades as if it carries some social disease. Once again the motivation for the move is the Hilsenrath story which suggests that the Federal Reserve might lower ...
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