Archive for January, 2015

No Rigid Time Limit

Tuesday, January 27th, 2015

Reuters reports that Japan's Economics Minister Amari has stated that there is no specific timetable for the Bank of Japan to meets its goal of 2 percent inflation target. He cites the decline in oil prices as a factor which will make it more difficult for the BOJ to quickly ...

Snowfall Link

Monday, January 26th, 2015

This graphic courtesy of the NYTimes.

Deficit Declines to End

Monday, January 26th, 2015

The NYTimes is carrying a piece on the budget deficit which has declined significantly since the head days of shovel ready stimulus in the early days of the Obama reign. The article notes that the deficit should edge lower again next year and then as the inexorable force of demographics ...

Russian Rubble

Monday, January 26th, 2015

Via the wsj: Standard & Poor’s Ratings Services on Monday cut its credit rating on Russia to junk, putting it below investment-grade territory for the first time in more than 10 years. Heavily dependent on oil exports that are priced in U.S. dollars, Russia faces mounting pressure from U.S. and European officials ...

Blizzard Impacts Treasury Auction Schedule

Monday, January 26th, 2015

Via Bloomberg: BFW 01/26 15:56 *TREASURY SAYS FIVE-YEAR NOTE SALE NOW THURSDAY INSTEAD OF WED. BN 01/26 15:56 *TREASURY SAYS FIVE-YEAR NOTE SALE NOW THURSDAY INSTEAD OF WED. BFW 01/26 15:56 *TREASURY CHANGES BILL, NOTE AUCTION TIMES BECAUSE OF WEATHER BFW 01/26 15:56 *TREASURY SAYS FOUR-WEEK BILL AUCTION TO TAKE PLACE TODAY BN 01/26 15:56 ...

Dallas Fed Manufacturing Index: Slumping

Monday, January 26th, 2015

Via Chris Low at FTN Financial: The Dallas Fed manufacturing index fell into negative territory in January, likely the first sign of trouble for the everything's-bigger state resulting from oil's recent tumble. We won't know for sure until the data are corroborated -- the index fell in 2013 for no discernible ...

FX

Monday, January 26th, 2015

Via Marc Chandler at Brown Brothers Harriman: Drivers for the Week Ahead - The continued surprises by policymakers remain the main feature of financial markets, as well as the how this contrasts to the Federal Reserve’s posture - There are no fewer than eight central bank meeting in the emerging markets in the ...

Corporate Bond Trading Friday

Monday, January 26th, 2015

Via Bloomberg: IG CREDIT: Highest Volume Friday in at Least 2 Years; 2 to Price 2015-01-26 10:37:09.415 GMT By Robert Elson (Bloomberg) -- Trace count for secondary trading closed at $16.6b on Friday vs $18.2b on Thursday, $12.2b last Friday; $16.6b is higher than 97% of days since Jan. 2005 * 10-DMA $15.8b * 144a trading added $2.3b ...

January 26 2015 Opening

Monday, January 26th, 2015

Prices of Treasury coupon securities are registering slight declines following an evening of volatile price action motivated by the results of the election in Greece which has installed an anti austerity party with a near majority in the new Parliament. Initially, markets responded with a risk off trade but have ...

Sunday Evening Update

Sunday, January 25th, 2015

The still investment grade 10 year Treasury note is trading at about 1.76 percent on the victory of the anti austerity party in Greece. At one point the  S and P had dropped 18 points but has since recovered. The 30 year Treasury had reached 2.34 percent which is about ...