Archive for March, 2014
Thursday, March 13th, 2014
The corporate bond market is soft and sloppy today and dominated by sellers. The IG 21 is back 3 basis points. Bank and finance paper is wider by a nickel and TMT paper is wider by 2 basis points to 3 basis points. Industrials are 1 basis point to 2 ...
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Thursday, March 13th, 2014
Volume has been very heavy today.
Via CRT Capital:
Volumes on Thursday were very high despite the slow overnight activity. Overall, cash traded at 164% of the 10-day moving-average for the most active session of the year – in fact, it was the most active session in cash Treasuries since late-June ‘s ...
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Thursday, March 13th, 2014
Swap spreads are 1/2 basis point wider in the 5 year and 10 year sector. I think that this is mostly just the short covering bid in Treasuries outpacing swaps and consequently you get some widening. I have heard of hedge fund receiving in the 30 year sector and that ...
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Thursday, March 13th, 2014
I went out to lunch with my lovely wife and while we were enjoy our food the the world ended. This is a bit of a perfect storm. With the market where it was earlier today and with retail sales and initial claims giving tactical bears some courage those day ...
Posted in Uncategorized | Comments Off on Treasury Market Update
Thursday, March 13th, 2014
Long bond buying continues unabated. The Treasury will sell bonds in less than an hour and demand for bonds is insatiable. Dealers continue to report domestic and end user buying in the long end and I have heard of a smattering of buying in the belly. Ukraine has fanned the ...
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Thursday, March 13th, 2014
I just spoke with several traders and salespersons regarding the Long Bond and the auction today. A simple synthesis of those conversations demonstrates that both bullish end users as well as bearish end users want to own the bond versus the curve. One trader noted that the data this morning ...
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Thursday, March 13th, 2014
Via Bloomberg:
Thursday - Mar 13
#$3b Caisse d'Amortissement de la Dette Sociale
(CADES) Aa1/AA+ 144a/Reg-S 10Y MS +63 BNP/CS/GS/JPM
$b American Express Credit Corp (AXP) A2/A-
$ 5Y FRN 3ML +equiv ...
Posted in Uncategorized | Comments Off on Today’s Corporate Calendar Thus Far
Thursday, March 13th, 2014
Via TDSecurities:
Retail sales activity rose at a fairly decent 0.3% m/m in February, bettering the market expectation for a slightly more modest 0.2% m/m. However, the improved performance in February contrasts against the very weak showing in January and December which saw the estimated pace of sales downwardly revised from ...
Posted in Uncategorized | Comments Off on Analysis of Retail Sales Data
Thursday, March 13th, 2014
The curve is a tad flatter than when I wrote a few minutes ago. Conversations with dealers informs me that client flows are responsible for the flattening with 10s 30s now 93.2 and 5s 30s inside 207 at 206.8. I have heard of real money and fast money buying in ...
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Thursday, March 13th, 2014
The Treasury will reopen the Long Bond via an auction at 100PM today. Notwithstanding that supply the issue trades very well on the curve. prior to the economic releases 5s 30s was 208.3 and it is currently 207.4. Similarly 10s 30s has flattened from 94.2 to 93.9.
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