Archive for August, 2015

Trade Balance

Wednesday, August 5th, 2015

Via Millan Mulraine at TDSecurities: The US trade balance widened to $43.84B in June, following the downwardly revised print of $40.9B the moth before (previously reported as $41.9B). The rise in the deficit was slightly more than the market consensus for $43.0B, and it was on account of rising import activity, ...

TBAC

Wednesday, August 5th, 2015

My previous post was a Bloomberg story which quoted an excerpt from the minutes of the Treasury Borrowing Advisory Committee meeting. The Committee is a group of buyside and sell side bond market major domos who advise the Treasury on funding its Brobdingnagian debt. They meet quarterly and the minutes ...

More Long Debt?

Wednesday, August 5th, 2015

Via Bloomberg: Committee Discussed Issuing More Long-Dated Debt: TBAC Minutes 2015-08-05 12:30:35.713 GMT By Alexandra Harris (Bloomberg) -- Some members of Treasury Borrowing Advisory Committee in favor of issuing more long-dated debt touted benefits of issuance “given low absolute interest costs,” minutes show. * Some market participants have suggested Treasury increase amount of long-term debt to protect against higher ...

Corporate Bond Run

Wednesday, August 5th, 2015

Via A fully paid up subscriber: BANK/FIN ON THE RUN OPEN 8/4 CLOSE      8/5 OPEN      CHANGE GE  24        89/86          89/86            -0- WFC 25      127/124        126/123          -1 JPM 25      ...

Excellent Commentary

Wednesday, August 5th, 2015

Via a market maker who requests anonymity: The markets are struggling to understand just how much and which data the Fed is using for its data dependent decision making.  All the Fed speak has placed a heavy emphasis on jobs growth and payroll data while being dismissively silent on the inflation ...

What to Watch Today

Wednesday, August 5th, 2015

Via Bloomberg: WHAT TO WATCH: * (All times New York) * Economic Data * 7:00am: MBA Mortgage Applications, July 31 (prior 0.8%) * 8:15am: ADP Employment Change, July, est. 215k (prior 237k) * 8:30am: Trade Balance, June, est. -$43b (prior -$41.87b) * 9:45am: Markit US Composite PMI, July final (prior 55.2) * Markit US Services PMI, July final, est. ...

Corporate Bond Pipeline

Wednesday, August 5th, 2015

Via Bloomberg and a fully paid up subscriber: IG CREDIT PIPELINE: RBS Set to Price 2-Part Sub. Perp Deal 2015-08-05 09:39:21.500 GMT By Robert Elson (Bloomberg) -- Expected to price today: * Royal Bank of Scotland Group (RBS) na/B/BB-, 2-part deal of SEC registered Perpetual Subordinated Contingent Convertible Additional Tier 1 Capital Notes, via managers BofAML/CS/MS/RBS * Perp/NC5, IPT ...

FX

Wednesday, August 5th, 2015

Via Marc Chandler at Brown Brothers Harriman: There are four main talking points today:   1) Divergences in the trajectory of monetary policy, illustrated by Atlanta Fed's Lockhart yesterday, and to be tested today by the ADP private sector employment estimate  2) The July service sector PMIs 3) The IMF's update on the ...

Corporate Bond Trading Yesterday

Wednesday, August 5th, 2015

Via Bloomberg: IG CREDIT: Spreads Remain at or Near Wides of 2015; RBS to Price 2015-08-05 10:00:17.42 GMT By Robert Elson (Bloomberg) -- Secondary IG trading ended with a Trace count of $14.1b vs $9.9b Monday, $16.3b last Tuesday. 10-DMA $13.3b; 10-Tuesday moving avg $15.3b. * 144a trading added $2.3b of IG volume vs $1.3b on Monday, $3.7b ...

Today’s Corporate Calendar

Tuesday, August 4th, 2015

Via Bloomberg: IG CREDIT: List of New Issues Expected to Price in U.S. Today 2015-08-04 14:01:00.0 GMT By Polina Noskova (Bloomberg) -- 5 new issues expected to price today: * 3M $Benchmark Aa3/AA- * 3Y, 5Y, 10Y * IPT 3Y +45-50, 5Y +65A, 10Y +95A * Books: BofAML, GS, JPM * Philip Morris $1b A2/A * 2Y, 10Y * IPT 2Y ...