Archive for December, 2014
Thursday, December 18th, 2014
Via the FT:
MarketsSaudi oil minister says oil rout "temporary"
40 minutes ago
Ali Al-Naimi, Saudi Arabia's oil minister, gave clarity on the Kingdom's position on Thursday as the price of Brent crude hovered near five and a half year lows.
Mr Naimi blamed the sharp falls in prices, down by 45 per cent ...
Posted in Uncategorized | Comments Off on Saudi Oil Minister Says Price Rout is Temporary
Thursday, December 18th, 2014
Via Merrill Lynch Research:
Fed Chair Janet Yellen's commentary at the post-FOMC press conference was very clear.
We find her outline of lift-off considerably more hawkish than the view from our investors.
Thus should the Fed's current view play out in 2015 we expect widening pressure on spreads as investors adjust.
Two is a ...
Posted in Uncategorized | 1 Comment »
Thursday, December 18th, 2014
Via Bloomberg;
IG CREDIT PIPELINE: January Serial Issuers; M&A Deals for 2015
2014-12-18 10:19:36.303 GMT
By Robert Elson
(Bloomberg) -- The following deals may be added to the IG
calendar in the coming days, weeks, months:
* ABIBB, BRK have history of January issuance
* GS often issues in January, has large maturities in 2015
* BAC historically ...
Posted in Uncategorized | Comments Off on January Issuers
Thursday, December 18th, 2014
Via the good folks at Bloomberg:
IG CREDIT: Spreads Improve vs Widest Levels of 2014
2014-12-18 10:59:56.635 GMT
By Robert Elson
(Bloomberg) -- The final Trace count for secondary trading
was $15.7b vs $13.6b Tuesday and $15.8b the previous Wednesday.
10-DMA at $14.9b vs $15b; 10-DMA of only Wednesday sessions
$15.2b.
* 144a IG trading added $2.6b of ...
Posted in Uncategorized | Comments Off on Corporate Bond Trading Yesterday
Thursday, December 18th, 2014
Prices of Treasury coupon securities have posted bifurcated results in overnight trading. When viewed against levels which prevailed at 645PM last evening 2 year through 5 year yields are a tad lower while yields on the longer dated benchmarks are modestly higher. The yield on the benchmark 5 year note ...
Posted in Uncategorized | Comments Off on December 18 2014 Opening
Thursday, December 18th, 2014
This is a nice recapitulation of events but does not add to our store of knowledge regarding the near term course of monetary policy.
Via Jon Hilsenrath at the Wall Street Journal:
By
Jon Hilsenrath
Updated Dec. 17, 2014 7:07 p.m. ET
The Federal Reserve took a delicate step toward raising short-term interest ...
Posted in Uncategorized | Comments Off on Hilsenrath Story
Wednesday, December 17th, 2014
I think the bottom line is that Ms Yellen does not possess the strand of DNA which allowed her predecessors to be nebulous and ambiguous. . Why have I gone off on a microbiology tangent? Well at her first press conference she talked about tightening six months after they finish ...
Posted in Uncategorized | Comments Off on Central Banker DNA and Other Musings
Wednesday, December 17th, 2014
Mortgages holding gains and remain 4+ to 5+ tighter to Treasuries.
Posted in Uncategorized | Comments Off on MBS
Wednesday, December 17th, 2014
Via Goldman Sachs;
Goldman Haztius On The Fed - Slightly Dovish Vs Expectations
1. Downward move in the dots, opening up the door for hikes post the middle of
2015 with the decline in the median dot and the 4th lowest dot (which we think
is the fed leadership)
2. language of "closely monitoring inflation" ...
Posted in Uncategorized | Comments Off on Goldman on FOMC
Wednesday, December 17th, 2014
One dealer reported chunky buying of 18 month to 3 year sector by asset managers.
Another dealer reports hedge funds and asset managers buying the 5 year through 7 year sector outright and against back end. Yield curve reflects that flow as 5s 30s has gapped to 122 from 115.7 prior ...
Posted in Uncategorized | Comments Off on Flows