Archive for December, 2014
Wednesday, December 24th, 2014
The Treasury market has stabilized at local low prices amidst very light volume. Dealers report real money and central banks taking advantage of the back up in yields to buy in the belly of the curve.
Today the Treasury will auction a batch of 7 year notes. I think there is ...
Posted in Uncategorized | Comments Off on December 24 2014
Tuesday, December 23rd, 2014
The NYTimes has posted an article on Janet Yellen's first year as head of the Federal Reserve. It focuses on her collegial approach and her ability to navigate a policy course with doves and hawks on the Committee advocating more forceful action. The article does not add to our store ...
Posted in Uncategorized | Comments Off on Puff Piece
Tuesday, December 23rd, 2014
Via Brown Brothers Harriman:
Foreign exchange: The US dollar is narrowly mixed. The euro is pinned in a quarter cent range above $1.2220. The dollar is higher against the yen for the fifth consecutive session. It may be the first time since December 8 that the dollar spend the entire session ...
Posted in Uncategorized | Comments Off on FX
Monday, December 22nd, 2014
Saudi Arabian oil minister Ali al-Naimi said today that it would maintain production at current levels but if some new customer showed up in the oil patch the Kingdom is prepared to raise production. He appears to be playing hard ball and is making his intentions very plain regarding the ...
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Monday, December 22nd, 2014
I regularly chronicle the gentle gyrations of the 5s 30s spread in the Treasury market. The good folks at Bloomberg have posted an article this morning which discusses the pronounced flattening of thaqt spread this year.
Via Bloomberg:
Treasury 5-30 Spread at Least in 6 Years on Rate Outlook
By David Goodman and ...
Posted in Uncategorized | Comments Off on 5s 30s
Monday, December 22nd, 2014
Via Brown Brothers Harriman:
Dollar Mixed As Holiday Week Begins
Price action: The dollar is mixed against the majors as the holiday week gets under way. The Swiss franc and the euro are outperforming, while the Scandies and the yen are underperforming. The euro is trading near $1.2260 after testing last Friday’s ...
Posted in Uncategorized | Comments Off on FX
Monday, December 22nd, 2014
Prices of Treasury coupon securities have drifted modestly lower in very light volume overnight trading . We are truly in holiday and end of year mode. There is a Holiday in Japan this evening and the US market closes early on Wednesday for the Christmas holiday. I believe that Friday ...
Posted in Uncategorized | Comments Off on December 22 2014 Opening
Monday, December 22nd, 2014
The good folks at Bloomberg have been very busy compiling a list of potential corporate bond issuers when the calendar flips to read 2015. Here is this morning latest update of that list.
Via Bloomberg:
IG CREDIT PIPELINE: CITNAT Added; Three Mixed Shelf Filings
2014-12-22 10:57:55.810 GMT
By Robert Elson
(Bloomberg) -- The following deals ...
Posted in Uncategorized | Comments Off on Corporate Bond Pipeline
Sunday, December 21st, 2014
This is an interesting article at the WSJ regarding the sharp equity market rally last week and the difficult time the market may have in sustaining these levels.
Via the WSJ:
Some See Danger in Sudden Stock Rally
E.S. Browning
Last week’s stock rebound was so sharp you could carve your holiday turkey with ...
Posted in Uncategorized | Comments Off on Lofty Levels
Sunday, December 21st, 2014
Via the WSJ:
By
Pedro Nicolaci da Costa and
Ryan Tracy
Dec. 21, 2014 3:28 p.m. ET
As Federal Reserve officials ramp up their efforts to monitor and curb risky activities by financial firms outside the banking system, a key question is emerging: What can they do about any problems they find?
The so-called shadow-banking system ...
Posted in Uncategorized | Comments Off on Regulating the Penumbras of the Financial System