Archive for September, 2014

FX

Wednesday, September 17th, 2014

Via Marc Chandler at Brown Brothers Harriman: Stocks and Bonds Advance Ahead of FOMC - The dollar is mostly consolidating after some more discussion in the media about the possible changes to the wording of the Fed Statement - We link the "considerable time" reference to the Fed's assessment of "significant under-utilization" in ...

IG Secondary Trading Yesterday

Wednesday, September 17th, 2014

Via Bloomberg: IG CREDIT: Volume Rises, 10-DMA Highest Since May 2014-09-17 10:04:32.282 GMT By Robert Elson Sept. 17 (Bloomberg) -- The final Trace count for secondary trading was $14.7b vs $12.6b Monday and $13.7b the previous Tuesday. 10-DMA $13.2b, the highest count since late May; 10-DMA of only Tuesday sessions $12.6b. * 144a trading added another $2.1b of ...

What to Watch Today

Wednesday, September 17th, 2014

Via Bloomberg: WHAT TO WATCH: * (All times New York) Economic Data * 7:00am: MBA Mortgage Applications, Sept. 12 (prior -7.2%) * 8:30am: CPI m/m, Aug., est. 0.0% (prior 0.1%) * CPI Ex Food and Energy m/m, Aug., est. 0.2% (prior 0.1%) * CPI y/y, Aug., est. 1.9% (prior 2%) * CPI Ex Food and Energy y/y, Aug., ...

September 17 2014 Opening

Wednesday, September 17th, 2014

Prices of Treasury coupon securities have erased some of the outsized steepening in the yield curve which transpired yesterday. The curve steepened on the back of comments by Jon Hilsenrath in an online chat in which he expressed an opinion that the FOMC might leave the "considerable period" language in ...

Merrill Lynch Research Musing on the FOMC language

Tuesday, September 16th, 2014

Via Merrill Lynch Research:   Watch your language. Over the past ten days the most striking development has been that, given strong economic data and a reminder in the form of a San Francisco Fed research paper that investors may be too complacent about the forthcoming rate hiking cycle, markets became so ...

Greenspan and “Considerable Period” Language

Tuesday, September 16th, 2014

This Bloomberg article demonstrates the metamorphosis of considerable period language under Greenspan as the FOMC prepared to hike rates a decade ago. According to the article the FOMC had promised "policy accommodation for a considerable period" from August 2003. In January 2004 the FOMC said that the Committee could be ...

Scotland Independence Poll

Tuesday, September 16th, 2014

This poll has the Yes at 48 and the No at 52.

End of Day Analysis

Tuesday, September 16th, 2014

Via Richard Gilhooly at TDSecurities: The conviction behind the hawkish FOMC view began to wither on Tuesday, as a modest rally in intermediates and a continued sell-off in 30yr bonds left the 5-30s curve 3.5bp steeper, while undermining confidence in long USD positions and boosting equities in the US and in ...

Corporate Bond Issuance Recap

Tuesday, September 16th, 2014

Via Bloomberg: IG CREDIT: Daily Issuance Tops $10b, Month Approaches $115b 2014-09-16 18:26:24.661 GMT By Lisa Loray Sept. 16 (Bloomberg) -- $10.35b is expected to price, bringing weekly volume to $17.7b after 2 sessions. Monthly volume is approaching $115b and YTD $1.04t. * Domestic corps quiet, accounting for only 18.8% of volume; financials most active at 42.5%, EM ...

Sub Prime Auto Lending

Tuesday, September 16th, 2014

Those on the Left who classify themselves as Progressive have long chanted Gregorian style that the government should not be in your bedroom or mine for that matter. However, that mantra apparently does not apply to the car dealership when you negotiate a car loan. The Consumer Finance Protection Board ...