Archive for July, 2015
Wednesday, July 29th, 2015
Via my friend Steve Liddy. This is an excerpt from his full note as the graphs he appends to it do not reproduce well on my low rent blog. My apologies to Steve for that.
As I noted yesterday, 5y5y fwd inflation expectations have dropped. Now, should spot commodity prices have ...
Posted in Uncategorized | Comments Off on Pre FOMC Guest Post
Wednesday, July 29th, 2015
Via Bloomberg:
IG CREDIT: CVS Issues Led Trading on Client Flows; 2 to Price
2015-07-29 10:06:06.554 GMT
By Robert Elson
(Bloomberg) -- Secondary IG trading saw a final Trace count
of $16.3b vs $11.7b Monday, $15.3b the previous Tuesday.
* Most active issues over 3 years:
* CVS 5.125% 2045 was 1st with 2-way client flows
accounting for ...
Posted in Uncategorized | Comments Off on Secondary Market Corporate Bond Trading Yesterday
Tuesday, July 28th, 2015
Via Bloomberg:
IG CREDIT: List of New Issues Expected to Price in U.S. Today
2015-07-28 14:01:00.0 GMT
By Allan Lopez
(Bloomberg) -- 9 new issues expected to price today:
* Sherwin Williams $750m A2/A
* 10Y, 30Y
* IPT 10Y +135, 30Y +170 (both area)
* Books: BofAML, C, JPM
* American Express Credit Corp. $benchmark A2/A-
* 3Y fxd ...
Posted in Uncategorized | Comments Off on Today’s New Issue Calendar
Tuesday, July 28th, 2015
Via Bloomberg:
RATES: Shorts Drop Sharply in Latest JPM Survey
2015-07-28 11:21:20.539 GMT
By Robert Elson
(Bloomberg) -- The JPMorgan Treasury Client Survey for the
week ended July 27 vs week ended July 20.
* Longs 17 vs 15
* Neutrals 61 vs 52
* Shorts 22 vs 33
* Net longs -5 vs -18
* "The all clients survey ...
Posted in Uncategorized | Comments Off on JPM Duration Survey
Tuesday, July 28th, 2015
Via Ian Lyngen at CRT Capital:
The 2-year sector is trading lower this morning, pricing in a modest outright concession although still outperforming the rest of the curve. We're constructive on this afternoon's auction as it benefits from a trend of solid investment fund demand and this sector has a strong ...
Posted in Uncategorized | Comments Off on Two Year Note Auction
Tuesday, July 28th, 2015
Via Bloomberg:
WHAT TO WATCH:
* (All times New York)
* Economic Data
* 9:00am: S&P/CaseShiller 20 City m/m SA, May, est. 0.3%
(prior 0.3%)
* S&P/CS 20 City y/y, May, est. 5.6% (prior 4.91%)
* S&P/CS 20 City NSA, May, est. 180.34 (prior 177.01)
* S&P/CS U.S. HPI m/m, May, est. 0.10% (prior -0.02%)
* S&P/CS U.S. HPI ...
Posted in Uncategorized | Comments Off on What to Watch Today
Tuesday, July 28th, 2015
Via Marc Chandler at Brown Brothers Harriman:
Dollar Mixed as Markets Consolidate
- Consolidative trade prevails as the two-day FOMC meeting gets under way
- The rout in Chinese equities continued
- The gains in the dollar bloc seem largely about position adjustments; the proximate spur may be RBNZ Governor Wheeler's speech later ...
Posted in Uncategorized | Comments Off on FX
Tuesday, July 28th, 2015
Slim pickings here overnight. I have heard of active two way flow in the 10 year sector. Interpreting the emails I have read it appears there was better buying in the sector and it was led trading accounts.
Posted in Uncategorized | Comments Off on Overnight Flow
Tuesday, July 28th, 2015
Via Bloomberg:
IG CREDIT: Spreads Again Make New Wides for 2015; Pipeline Grows
2015-07-28 09:58:35.991 GMT
By Robert Elson
(Bloomberg) -- FINRA’s TRACE data unavailable for Monday.
$12.5b was estimated by Bloomberg vs $9.8b Friday as reported by
TRACE.
* Most active issues, according to Bloomberg estimates:
* CVS 5.125%% 2045 was 1st with 2-way client flows
accounting for ...
Posted in Uncategorized | Comments Off on New Wides in Spreads
Tuesday, July 28th, 2015
This is a very long and very interesting article from Cardiff Garcia at the FT on the mechanics of FOMC tightening. The article discusses the difficult and novel path the FOMC will traverse as it employs its Reverse Repo Facility to vacuum up excess reserves.
The fear is that lenders will ...
Posted in Uncategorized | Comments Off on Mechanics of FOMC Tightening