Archive for September, 2015

On the FOMC’s Logorrhea

Monday, September 21st, 2015

I previously posted this article on various FOMC members running at the mouth this weekend regarding the near term course of monetary policy. Here is a note from Stephen Stanley at Amherst Pierpont Securities on the topic: Fed chatter over the weekend suggests that there is significant sentiment for a rate ...

What to Watch Today

Monday, September 21st, 2015

Via Bloomberg: WHAT TO WATCH: * (All times New York) * Economic Data * 10:00am: Existing Home Sales, Aug., est. 5.5m (prior 5.59m) * Existing Home Sales m/m, Aug., est. -1.6% (prior 2%) * Central Banks * 1:00pm: Fed’s Lockhart speaks in Atlanta * 2:30pm: Bank of Canada’s Poloz speaks in Calgary * Supply * 11:00am: U.S. to announce plans for ...

FX

Monday, September 21st, 2015

Via Marc Chandler at Brown Brothers Harriman: Drivers for the Week Ahead We highlight nine items driving financial markets: 1.        Temporal Inconsistencies at the Fed 2.        Divergence meme alive and well 3.        Next year's US presidential race may be about to get interesting 4.       ...

Greek Election

Monday, September 21st, 2015

The FT notes that the yield on  10 year notes in Greece is at a one year low. Could that be a buying opportunity as momentum has shifted? Not with my scarce capital. The FT reviews the election returns and presents a nice cross section of analyst commentary> Via the FT: Greek ...

Gargantuan Bond Market

Monday, September 21st, 2015

The WSJ avers that the bond market is no longer the sleepy backwater that it was in a bygone era and examines the ramifications of the sheer size of global debt market. Via the WSJ: By Colin Barr Updated Sept. 21, 2015 12:10 a.m. ET Stocks rise and fall, but bonds are starting to ...

Corporate Bond Trading Friday

Monday, September 21st, 2015

Via Bloomberg: G CREDIT: Volume Lower, Spreads Unchanged; Issuance Expected 2015-09-21 09:30:15.417 GMT By Robert Elson (Bloomberg) -- Secondary IG trading ended with a Trace count of $11.2b Friday vs $13.1b Thursday, $13.1b the previous Friday. 10-DMA $13.3b; 10-Friday moving avg $10b. * 144a trading added $2.0b of IG volume Friday vs $2.5b on Thursday, $2.4b last Friday * ...

Early FX

Monday, September 21st, 2015

Via Kit Juckes at SocGen: <http://www.sgresearch.com/r/?id=heab89fa,141a3b27,141a3b28&p1=136122&p2=665965d2ba9ab1bdf9c1d94db4ea1950> Monday morning market trends have a habit of extending what was happening on Friday rather than setting the tone for the rest of the week but still, the verdict on the Fed's wait-and-see policy is that uncertainty doesn't help risk appetite. Especially when the root cause ...

Pushing on a String in Europe

Sunday, September 20th, 2015

Via the WSJ: By Todd Buell Sept. 20, 2015 1:53 p.m. ET As the Federal Reserve chews over when to raise interest rates, after holding fire Thursday, European Central Bank officials can claim some success in traveling a very different road, already blazed by the Fed, in buying up hundreds of billions of ...

Low Oil Prices Put Kabosh on Capital Spending Plans

Sunday, September 20th, 2015

Via the FT: Oil Plunging oil prices put question mark over $1.5tn of projects Industry operators expect investment in new projects to drop up to 30%, says a Wood Mackenzie report by: Christopher Adams, Energy Editor Plunging oil prices have rendered more than a trillion dollars of future spending on energy projects uneconomic, according to ...

Hawkish Fed Comments From Fed Officials

Sunday, September 20th, 2015

Federal Reserve officials suffered a severe case of logorrhea this weekend with Bullard and Williams and  Lacker each issuing comments that a rate hike is still possible this calendar year. Given the tone and tenor and timbre of last week's statement and the subsequent presser by Ms Yellen it hard ...