Archive for November, 2014
Wednesday, November 12th, 2014
David Ader at CRT Capital in his client note this morning pointed out that the Treasury refunding this week requires just $6 billion in new cash.
He did not breakdown the numbers but the usual calculation of that number takes the maturing issues and adds to that the interest payment and ...
Posted in Uncategorized | 1 Comment »
Wednesday, November 12th, 2014
Via Bloomberg:
WHAT TO WATCH:
* (All times New York)
Economic Data
* 7:00am: MBA Mortgage Applications, Nov. 7 (est. -2.6%)
* 10:00am: Wholesale Inventories, Sept., est. 0.2% (prior
0.7%) **Wholesale Sales, Sept., est. -0.1% (prior -0.7%)
Central Banks
* 12:00pm: Fed’s Kocherlakota speaks in Eau Claire, Wis.
Supply
* 11:30am: U.S. to sell $25b 52W bills, TBA 4W bills
* ...
Posted in Uncategorized | Comments Off on What to Watch for Today
Wednesday, November 12th, 2014
Via Marc Chandler at Brown Brothers Harriman:
Dollar Mixed As Consolidative Tone Continues
- The consolidative tone that has been a general feature of the foreign exchange market continues today
- Official denials of snap elections and a consumption tax hike delay in Japan saw the Nikkei fall and the yen rise
- ...
Posted in Uncategorized | Comments Off on FX
Wednesday, November 12th, 2014
Via Bloomberg:
IG CREDIT: EMN, FCX Most Active Names; Korean Names Possible
2014-11-12 10:41:23.890 GMT
By Robert Elson
Nov. 12 (Bloomberg) -- The final Trace count for secondary
trading was $11.4b Monday vs $13.4b Friday and $9.8b the
previous Monday. 10-DMA at $12.6b; 10-DMA of only Monday
sessions $12.1b.
* 144a trading added another $1.2b of IG volume
* ...
Posted in Uncategorized | Comments Off on Secondary Market Corporate Bond Trading
Wednesday, November 12th, 2014
Prices of Treasury coupon securities have surged in overseas trading. One of the hallmarks of the operation here is that I do not make this stuff up (which must be comforting to you if you read this) and I am having a difficult time rationalizing the price action overnight. I ...
Posted in Uncategorized | Comments Off on November 12 2014 Opening
Wednesday, November 12th, 2014
Via Bloomberg:
BOE Cuts U.K. Forecasts as Risks From Euro Area Crystallize
By Jennifer Ryan Nov 12, 2014 5:30 AM ET
The Bank of England cut its forecasts for growth and said inflation could fall below 1 percent within months as a renewed slump in the euro area weighs on the U.K. economy.
In ...
Posted in Uncategorized | Comments Off on Bank of England Cuts Growth and Inflation Forecast
Wednesday, November 12th, 2014
Japan is rife with rumors and stories regarding the sales tax hike scheduled for next October. One story line is that the Abe government will call for elections next month to gain a mandate to postpone the tax hike. That has the yen under pressure and the Nikkei on a ...
Posted in Uncategorized | Comments Off on Sales Tax Hike in Japan
Wednesday, November 12th, 2014
Federal Reserve Bank of Philadelphia President Plosser called on the FOMC to raise rates sooner rather than later and suggested that in so doing the Committeee could adopt a gradualist approach rather than an approach in which it would raise rates rapidly (if it had waited too long to act).
Via ...
Posted in Uncategorized | Comments Off on Plosser Calls for Rate Hikes
Tuesday, November 11th, 2014
Via Marc Chandler at Brown Brothers Harriman:
Spotlight on the Weak Yen
- The US dollar has come back bid today, but the real story is the drop in the Japanese yen
- The main driver appears to be the Japanese investors themselves; separately, speculation of an early election is on the ...
Posted in Uncategorized | Comments Off on FX
Tuesday, November 11th, 2014
The NYTimes has posted an interesting article on the political implications of stagnant wages. The author, David Leonhard, argues that the lack of wage growth threatens the Democrats recent Presidential hegemony and suggests a typical Democrat solution. He proposes a middle class tax cut paid for by hiking the rates ...
Posted in Uncategorized | Comments Off on Wage Stagnation and Politics