Archive for May, 2015
Friday, May 8th, 2015
A fully paid up subscriber forwarded this compilation of research pieces on the market consequences of the Conservative victory in the UK.
Via a fully paid up subscriber:
Barcs: They expect the result as it stands to be positive for gilt asset swaps, and also potentially for gilts outright. They expect the ...
Posted in Uncategorized | Comments Off on Thoughts on the UK Election
Thursday, May 7th, 2015
David Ader and Ian Lyngen at CRT Capital publish a pre labor report each month which attempts to discern what might happen in the immediate aftermath of the labor report. Here is this month's edition which is an excerpt from their end of day note.
Via CRT Capital:
RESULTS!!! CRT, PRE-NON FARM ...
Posted in Uncategorized | 2 Comments »
Thursday, May 7th, 2015
Via Merrill Lynch Research:
The major jump in Bund yields overnight was caused by a French auction of 10-year bonds that was very weak.
This mirrors US HG credit where the combination of rates risk and heavy supply volumes has re-priced credit spreads wider.
Expect supply to continue as a major driver of ...
Posted in Uncategorized | Comments Off on Merrill Lynch Research on Eclectic Topics
Thursday, May 7th, 2015
Via Gillian Tett at the FT:
May 7, 2015 6:38 pm
Debt hangover ruins the American dream
Gillian Tett
There are ‘eerie parallels’ between the loan tale and subprime mortgages
A decade ago, American consumers seemed the most debt-addicted people on the planet. Since 2008, however, something rather remarkable has occurred: the level of consumer ...
Posted in Uncategorized | Comments Off on Student Loans as the New SubPrime
Thursday, May 7th, 2015
Via Eric Green at TDSecurities:
TD: Anatomy of a Bond Rout
Today at 2:27 PM
Anatomy of a Bond Rout
The rout across global bond markets has been swift and decisive. Consensus trades long EGB’s and short the Euro are being unwound in part owing to the better than expected economic data ...
Posted in Uncategorized | Comments Off on Anatomy of a Bond Rout
Thursday, May 7th, 2015
Via Robert Sinche at Amherst Pierpont Securities:
CHINA: : The BBerg consensus expects the Chinese Trade Surplus to jump to $39.6bn in April from an unusually low, holiday-impacted 3.1bn in March. The wide US Trade deficit for March suggests there could be an even larger surplus in China as US demand ...
Posted in Uncategorized | Comments Off on Overnight Preview
Thursday, May 7th, 2015
Yesterday witnessed heavy issuance in the corporate bond sector with mega deals from Apple and Shell Oil.
The Apple deal is trading a basis point to two better than pricing levels. For example, the 10 year priced +100 and someone quoted the issue 99/98 several minutes ago. The 30 year deal ...
Posted in Uncategorized | Comments Off on Corporate Bonds Recap
Thursday, May 7th, 2015
Via Bloomberg:
IG CREDIT: List of New Issues Expected to Price in U.S. Today
2015-05-07 14:02:55.953 GMT
By Allan Lopez
(Bloomberg) -- The following is a list of new issues
expected to price today:
* Boston Scientific $benchmark Baa3/BBB-
* 5Y, 7Y, 10Y
* IPT 5Y +145, 7Y +165, 10Y +180 (all area)
* Books: Barclays, C, DB, JPM
* ...
Posted in Uncategorized | Comments Off on Today’s New Issue Corporate Calendar
Thursday, May 7th, 2015
Via a fully paid up subscriber:
Amid the overnight continuation of the sell-off in Europe, total TY equivalent volume in Treasury futures was more than triple its 20-day average and the highest since October 16 (the overnight following October 15's flash rally). Volume in TY alone nearly equal to yesterday's relatively ...
Posted in Uncategorized | Comments Off on Factoid on Overnight VOlume
Thursday, May 7th, 2015
This is via my friend Steve Liddy:
…humor me for a second…remember when Sheriff Brody (Roy Scheider) is up in the shark tower and sees a large shadow in the water? He comes storming down wielding his pistol and yelling: “SHARK!! GET OUT OF THE WATER…GET OUT OF THE WATER”. Mass ...
Posted in Uncategorized | Comments Off on Guest Blogger Says Sell The Rallies