Archive for October, 2014
Friday, October 17th, 2014
Via Bloomberg:
IG CREDIT: 10Y Issues Led Volume; M&A-Related Deals in Pipeline
2014-10-17 10:11:16.69 GMT
By Robert Elson
Oct. 17 (Bloomberg) -- The final Trace count for secondary
trading was $16.1b vs $15.2b Wednesday and $13.2b the previous
Thursday. 10-DMA $13.9b; 10-DMA of only Thursday sessions $14b.
* 144a trading added another $2.1b of IG volume
* AAPL ...
Posted in Uncategorized | Comments Off on Secondary Market Corporate Market Trading
Friday, October 17th, 2014
Via Marc Chandler at Brown Brothers Harriman:
Dollar Little Changed As Risk Appetite Returns
- Bullard comments yesterday finally gave what the markets were waiting for: the prospect of more stimuli; we caution about the extremes in pricing in Fed action
- The selling climax appears to have passed, but significant technical damage ...
Posted in Uncategorized | Comments Off on FX
Friday, October 17th, 2014
Prices of Treasury coupon securities have registered sharp losses in another volatile overnight trading session. Yesterday morning at this hour fear was ascendant and greed was on a holiday. What a difference a day makes as today safe haven assets are in full retreat. The proximate cause of the euphoria ...
Posted in Uncategorized | Comments Off on October 17 2014 Opening
Friday, October 17th, 2014
Gillian Tett of the FT offers her take on the lack of liquidity which surfaced in the the market this week. MS Tett cites several reasons for the price action. She notes that everyone was lined up on the same side of the boat looking with near unanimity for higher ...
Posted in Uncategorized | Comments Off on More on Liquidity
Thursday, October 16th, 2014
Via Merrill Lynch Research:
Small caps are now finally outperforming large caps in the stock market and high yield is outperforming investment grade.
These developments are encouraging and support our view that the financial markets reaction to global weakness is overdone.
However, bank underperformance in credit shows that today's widening in European peripheral ...
Posted in Uncategorized | Comments Off on Merrill Lynch on Eclectic Topics
Thursday, October 16th, 2014
I posted earlier today on the illiquid condition of the Treasury market. The WSJ has an article this evening detailing the illiquidty which has permeated the corporate bond market the last several days.
Via the WSJ:
Corporate-Debt Market Slows to a Crawl
Banks’ Reduction of Bond Inventories Is Fueling Lack of Liquidity
By
KATY BURNE
Oct. ...
Posted in Uncategorized | Comments Off on Corporate Bond Market Liquidity: Impaired
Thursday, October 16th, 2014
Dealers continue to report illiquid conditions in the market place. I have heard of trades in off the run paper in the belly of the curve in which very large blocks traded 1+ and 2 ticks below the bid side. Sometimes it is great to be a dealer and that ...
Posted in Uncategorized | 3 Comments »
Thursday, October 16th, 2014
The IG 23 is back to unchanged on the day and industrials and bank and finance paper are also unchanged. The 5 year JPM deal which priced at 100 is 102/98. Small amounts have traded at 97 and 98.
Posted in Uncategorized | Comments Off on Corporate Bond Spreads
Thursday, October 16th, 2014
Via Bloomberg:
How Yellen’s Attention May Be Grabbed by Swedish Rate-Rise Error
2014-10-16 12:40:38.7 GMT
By Simon Kennedy
Oct. 16 (Bloomberg) -- Forget the bigger-than-forecast drop in U.S. retail sales, the surprising tumble in U.K. inflation to a five-year low, and the slide in German investor confidence. For central banks around the world, the ...
Posted in Uncategorized | Comments Off on Re the Swedish Model and not the Blonde Variety
Thursday, October 16th, 2014
Via Millan Mulraine at TDSecurities:
The Philly Fed manufacturing index bettered expectation, with the headline index falling only slightly to 20.7 in October from 22.5 the month before. This was a better outcome than the market expectation for a fall to 19.8 and it will likely take some of the edge ...
Posted in Uncategorized | Comments Off on Philly Fed