Archive for September, 2014
Tuesday, September 30th, 2014
Larry Summers was Barack Obama's first choice to be Chairman of the Federal Reserve upon the departure of the late and lamented Ben Bernanke. But Mr Summers in various professional incarnations antagonized both the powerful and those with powerful protectors and was passed over for Ms Yellen.
Mr Summers is still ...
Posted in Uncategorized | Comments Off on Cross Purposes
Tuesday, September 30th, 2014
The money markets were awash with too much money chasing too little collateral as the Fed's cap on its reverse repo facility left a flood of money in the system which forced repo rates to zero. The quarter end balance sheet date exacerbated the problem.
Via the WSJ:
Credit Markets
In Significant Test, ...
Posted in Uncategorized | 2 Comments »
Tuesday, September 30th, 2014
Via Merrill Lynch Research:
Economy up, risk assets down. As our rates strategists have highlighted, September stands as the month where longer term interest rates finally go up in reaction to stronger than expected economic data, see The long-end mystery. This most likely as strong Treasury demand technicals from the beginning ...
Posted in Uncategorized | Comments Off on Credit Spread Stuff
Tuesday, September 30th, 2014
In another body blow to those in the fixed income trading and sales business (from which I departed one year ago today) Bank of New York Mellon announced that it will exit the business of selling and trading derivatives. The bank will focus on its custody and collateral businesses which ...
Posted in Uncategorized | Comments Off on Bank of New York Mellon Exits Derivatives Business
Tuesday, September 30th, 2014
The WSJ has posted an article on Perzo the start up founded by David Gurle which is set to be bought by Goldman Sachs and a consortium of other investment banks. The chat function devised by Perzo is seen as a means to the end of breaking Bloomberg's dominance of ...
Posted in Uncategorized | Comments Off on Chat Chief
Tuesday, September 30th, 2014
Via Richard Gilhooly at TDSecurities :
The quarter came to and end with selling pressure in long-end Treasuries as the curve steepened 3bp on 5-30s, closing at 144bp. This represented a flattening of nearly 30bp in the quarter, from a June 30 close of 172bp, but was essentially flat on the ...
Posted in Uncategorized | Comments Off on End of Day Analysis
Tuesday, September 30th, 2014
Via the FT:
MARKETSOil's monthly drop hits 8% as it tumbles below $95
An hour ago
URL
Twitter
The euro's tumble was the most eye-catching move in financial markets early on Tuesday, but it's since been eclipsed by the slide in oil.
Brent crude fell 2.6 per cent to trade below $95 a barrel in late ...
Posted in Uncategorized | Comments Off on Oil Off 8 Percent in September
Tuesday, September 30th, 2014
Via Barrons:
September 30, 2014, 11:00 A.M. ET
Junk Bonds Tanking In September, Down 2.4
By Michael Aneiro
The high yield bond market is on track to close September with a 2.47% loss, including a 0.25% loss yesterday and a 1.54% loss over the past week, per a benchmark Bank of America Merrill Lynch ...
Posted in Uncategorized | Comments Off on Nice Piece on HY
Tuesday, September 30th, 2014
The Treasury market is a hotbed of rather pedestrian activity today as clients close their books on Q3.
The yield curve has manifested a proclivity to steepen with 5s 3s at 142.4 a basis point wider than very early New York AM levels.The 10s 30s curve had flattened between 530AM and ...
Posted in Uncategorized | Comments Off on Treasury Update
Tuesday, September 30th, 2014
This is also from a fully paid up subscriber across the pond. I do not believe he wrote it but he left no identifying marks regarding the source so take with grain of salt.
Via a fully paid up subscriber;
Mario Draghi will push for the European Central Bank to accept bundles ...
Posted in Uncategorized | Comments Off on More on ECB and Junk