Archive for March, 2014

Fed Speaker Schedule

Friday, March 21st, 2014

I noted earlier that several Federal Reserve major domos are speaking today. Here is the timeframe via Bloomberg: * 11:45am: Fed’s Bullard speaks on panel in Washington * 1:45pm: Fed’s Fisher speaks in London * 4:30pm: Fed’s Kocherlakota speaks in Washington * 7:20pm: Fed’s Stein speaks in Washington

Overnight Flows

Friday, March 21st, 2014

Via CRT Capital OVERNIGHT FLOWS:  Treasuries were all but unchanged overnight and holding on to the recent declined.  Overnight volumes were light with cash trading at 45% of the 10-day moving-average, while TY came in at 59% of norms.  5s were the most active issue, taking a 41% marketshare while 10s ...

China Stock Rally

Friday, March 21st, 2014

The Shanghai Composite rallied 2.7 percent and the Hang Seng  gained 1.2 percent on a story that the government would ease funding rules for Chines property companies and banks. Via Bloomberg: By Weiyi Lim March 21 (Bloomberg) -- China’s stocks rallied, sending the benchmark index to its biggest gain in five months, amid ...

March 21 2014 Opening

Friday, March 21st, 2014

Prices of Treasury coupon securities are posting small mixed changes in overnight trading. It was an extremely quiet session as a holiday closed markets in Japan. As I write this I am thinking that they actually close for the vernal equinox and celebrate the change of season. If memory serves ...

Goldman Sachs View on ECB Policy

Friday, March 21st, 2014

Goldman Sachs is positing that the ECB will opt for a period where it will accept a period of undesirably low inflation. Here is the note and excerpts from the Goldman piece courtesy of Jon Horton a futures broker with JB Drax Honore in the UK. Via Jon Horton: EUROZONE VIEW: Goldman ...

Fed Custody Holdings

Friday, March 21st, 2014

Last week Federal Reserve Bank of New York custody holdings held on behalf of foreign central banks cause a commotion when the reported showed a drop of over $100 billion. Analysts arrived at the conclusion that the drop reflected Russia moving holdings to a different custodian fearing that sanctions would ...

Fitch And the USA

Friday, March 21st, 2014

Ratings agency Fitch had America on its negative watchlist but in the dead of night the firm reaffirmed the America's AAA rating and moved the US outlook from negative to stable.

Volcker Rule Trashes Bonus Pools

Thursday, March 20th, 2014

The WSJ has an article which states that theVolcker rule will cost as much $4billion to implement. The biggest hit is to bank investment and the actual cost of compliance is a lower number. Via WSJ: Report Pegs Volcker Costs at Up to $4.3 Billion   Alan Zibel WASHINGTON — The Volcker rule is projected ...

Not Quite Midnight Miscellany

Thursday, March 20th, 2014

I spent a chunk of time away from the market in the afternoon today and reviewing levels I note the steepening of the yield curve which took place.I had marked the curve at about 1230PM and from that time until the close of New York trading 5s were a star ...

MBS

Thursday, March 20th, 2014

Mortgages are leaking wider with FNMA 4s and 4 1/2s wider by 7 to 8 ticks. 15 year paper is 3 ticks wider.  Dealers report real money selling today.