Archive for October, 2014

What to Watch for Today

Monday, October 20th, 2014

Via Bloomberg: WHAT TO WATCH: * (All times New York) Economic Data * None scheduled Supply * 11:00am: Fed to purchase $1b-$1.25b notes in 2019-2020 sector * 11:00am: U.S. to announce plans for auction of 4W bills * 11:30am: U.S. to sell $24b 3M bills, $30b 6M bills

Companies Exiting Blackout

Monday, October 20th, 2014

Potential Corporate Bond issuers. Via Bloomberg: CREDIT: HAL, Others, to Exit Blackout, No Recent Issuance 2014-10-20 10:35:01.222 GMT By Robert Elson Oct. 20 (Bloomberg) -- Halliburton, rated A2/A, is set to announce earnings this morning. It last priced a new deal in July, 2013. * Also exiting blackout periods this morning and not seen this year: * VFC, A3/A, last ...

FX

Monday, October 20th, 2014

Via Marc Chandler at Brown Brothers Harriman: rivers for the Week Ahead - Falling market-based measures of inflation expectations, concerns about world growth prospects, and a strong dollar environment have seen the pendulum of market sentiment swing in favor of the persistence of disinflationary forces.   - This week's US September CPI report ...

Secondary Market Corporate Bond Trading on Friday

Monday, October 20th, 2014

Via Bloomberg: IG CREDIT: 4 BAC Issues Led Volume; GS Global 5Y to Price 2014-10-20 09:40:29.68 GMT By Robert Elson Oct. 20 (Bloomberg) -- The final Trace count for secondary trading was $14.4b vs $16.1b Thursday and $9.6b the previous Friday. 10-DMA $14b; 10-DMA of only Friday sessions $9.7b. * 144a trading added another $1.7b of IG ...

October 20 2014 Opening

Monday, October 20th, 2014

Prices of Treasury coupon securities have registered very small mixed changes in overseas trading. In the Asian session yields had moved modestly higher as a risk on trade dominated activity. The Nikkei closed up nearly 4 percent as reports circulated that the GPIF would raise its allocation in domestic stocks ...

Conference Board Forecasts Big Drop in Growth in China

Monday, October 20th, 2014

Via the WSJ: World News China Growth Seen Slowing Sharply Over Decade Conference Board Report Sees Productivity Plummet, Leaders at a Loss ENLARGE Customers shop for clothes in a plaza in Qiqihar, an old industrial and agricultural hub in China's rust-belt northeastern province Heilongjiang, on Sept. 23. Reuters By Bob Davis Oct. 20, ...

Property Slump in China Deepens

Sunday, October 19th, 2014

Via the WSJ: China Challenged by Deepening Property Slump Decline Hits Many Households and Industries, Scams Burn Speculators By Esther Fung Oct. 19, 2014 8:52 p.m. ET HANDAN, China—The property slump is worsening across China, hitting many households and industries, scaring off home buyers and lenders, and leading to bankrupt developers and abandoned projects. Adding ...

Eternally Bullish and Correct

Sunday, October 19th, 2014

Van Hoisington and Lacy Hunt of Hoisington Investment Management have been bond bulls from time immemorial. Here is a nice WSJ profile on their fund and their mindset.Hint: In the last paragraph of the story Mr Hunt suggests that the yield on the Long Bond could trade down to the ...

Not Heeding Polonius’ Advice to Laertes

Sunday, October 19th, 2014

Polonius and Laertes were characters in Shakepeare's masterpiece Hamlet.  Polonius was the chief adviser to the King and father of Laertes. Why does this matter in  a fixed income market blog? Well because Polonius famously told his son that he should "neither a borrower or a lender be". That is ...

Big Banks Charge for Holding Euros

Saturday, October 18th, 2014

Via WSJ: Big Banks Start Charging Clients for Euro Deposits BNY Mellon, Credit Suisse and J.P. Morgan Among Banks Beginning Practice By JULIET CHUNG and VIPAL MONGA CONNECT Updated Oct. 17, 2014 7:58 p.m. ET Bank of New York Mellon has started charging for cash held in euros. Associated Press Several global banks have begun charging large customers to ...