Archive for November, 2015
Friday, November 6th, 2015
This is another in a tsunami of stories on the recent plunge in swap spreads. Strategists at JPMorgan are suggesting that structural changes in the market will leave Treasuries trading cheap to swaps.
That does not sound like such a swell deal for taxpayers. Maybe the Treasury could start to pay ...
Posted in Uncategorized | Comments Off on Treasuries to Remain Structurally Cheap
Friday, November 6th, 2015
Via TDSecurities:
TD SECURITIES DATAFLASH
US: Labor Market Flashes Green for the Fed to Hike in December
* The US economy added jobs at a robust 271K pace in October. This is well ahead of the market consensus for a more modest 185K gain and it marks the fastest pace ...
Posted in Uncategorized | Comments Off on Labor Analysis
Friday, November 6th, 2015
Treasury curve flattening significantly. Just prior to data 5s 10s was 59.6 and sits currently at 56.1. The 5s 30s spread has moved to 131.2 from 135.8.The 10s 30s spread has narrowed to 74.6 from 76.2.The 5 year note is being taken to the woodshed. The 2s 5s spread has ...
Posted in Uncategorized | Comments Off on Treasury Update
Friday, November 6th, 2015
Via Bob Elson at Bloomberg:
CREDIT MORNING CALL: At Least 1 Still to Price After HAL/Shell
2015-11-06 11:46:48.788 GMT
By Robert Elson
(Bloomberg) -- HAL is finally in the rear-view mirror,
Bloomberg’s Robert Elson writes. The real suprise yesterday was
Shell’s $5b 5-part deal; brought the day to $15.85b and the week
to $32.85b.
* Last word on ...
Posted in Uncategorized | Comments Off on Credit Musings
Friday, November 6th, 2015
It is a London based rumour so I spelled it the way they do. Anyway one trader in an overnight note reports a rumor that
Rumours are circulating overnight that a large macro hedge fund has released a block of staff in London and Geneva which has stoked speculation that yesterday's ...
Posted in Uncategorized | Comments Off on Rumour
Friday, November 6th, 2015
Via Bloomberg:
IG CREDIT: Lower Volume, Mixed Spreads as Issuance Surges
2015-11-06 10:37:04.807 GMT
By Robert Elson
(Bloomberg) -- Secondary IG trading ended with a Trace
count of $13.7b vs $17.1b Wednesday, $16.6b the previous
Thursday. 10-DMA $15.9b; 10-Thursday moving avg $15.1b.
* 144a trading added $2.9b of IG volume vs $3.6b on Wednesday,
$3.6b last Thursday
* The ...
Posted in Uncategorized | Comments Off on Corporate Bond Trading Yesterday
Friday, November 6th, 2015
Via Marc Chandler at Brown Brothers Harriman:
Dollar Firmer Ahead of Jobs Report
- The US dollar is going into the monthly jobs report with a bid.
- Fed officials indicated that a rate hike was likely next month unless the economy disappointed; that’s not a high bar for the October jobs ...
Posted in Uncategorized | Comments Off on FX
Friday, November 6th, 2015
Via Kit Juckes at SocGen:
<http://www.sgmarkets.com/r/?id=hf0dd539,14b3d967,14b3d968&p1=136122&p2=1c4568db3dd3ffb3667ca79304820e49>
Link to the FX weekly is above. I wrote a short editorial that could easily be redundant by 13:32pm but the rest of it is more interesting. Last moth's 'surprise' form the payroll data was within one standard deviation of the recent average, which makes it ...
Posted in Uncategorized | Comments Off on Eclectic Stuff
Friday, November 6th, 2015
Via Bloomberg:
BFW 11/06 10:46 MORE: Tullett Prebon Confirms It Is in Talks With ICAP
RNS 11/06 10:22 Tullett Prebon Plc TLPR Statement re. Press Comment
BN 11/06 10:25 *TULLETT PREBON: DEAL TO INVOLVE NEW SHRS ISSUE AS CONSIDERATION
BN 11/06 10:24 *TULLETT PREBON: DEAL TO INVOLVE TULLETT ISSUING NEW SHRS
BN 11/06 10:24 *TULLETT ...
Posted in Uncategorized | Comments Off on Merger
Thursday, November 5th, 2015
I can recall watching Jim Paulsen of Wells Fargo at the worst moments of the crisis and he was always mind numbingly bullish. Stocks were cratering all around him and he was celebrating the declines as manna from heaven as the carnage was a buying opportunity. I guess he did ...
Posted in Uncategorized | Comments Off on Cautionary Note on the Economy