Archive for November, 2015
Sunday, November 22nd, 2015
Maybe the left has a point on this one. I was astounded when I read in this article that corporate America had repurchased $572 billion of shares in the first none months of the year. Some of that is the tax code favoring debt, some of it is virtually zero ...
Posted in Uncategorized | Comments Off on Regarding Share Buybacks
Sunday, November 22nd, 2015
Venezuela's OPEC Minister offered some confusing commentary on the price of oil. On the one hand he sees oil plunging into the $20s if Opec fails to act. Against that background he some how sees a $88 equilibrium price for the challenged commodity.
Via Bloomberg:
OPEC member seeks `equilibrium price' of $88 ...
Posted in Uncategorized | Comments Off on Venezuela With Confused Commentary on Oil Prices
Sunday, November 22nd, 2015
Via Bloomberg:
Years of low interest rates have sparked an intense search for yield, with many investors seeking heftier returns in riskier corners of financial markets. So-called yield plays, including real estate investment trusts (Reits), master limited partnerships (MLPs), some initial public offerings, leveraged loans, and the bottom tier of the corporate ...
Posted in Uncategorized | Comments Off on Changing Environment
Friday, November 20th, 2015
Via the WSJ:
By Bradley Olson And
Erin Ailworth
Nov. 20, 2015 7:42 p.m. ET
1 COMMENTS
The ingenuity and easy money that allowed American oil companies to keep pumping through a year-long price crash appear to be petering out as U.S. crude slides toward $40 a barrel.
U.S. companies have stunned global rivals by continuing ...
Posted in Uncategorized | Comments Off on Crunch Time in the Oil Patch
Friday, November 20th, 2015
Via Robert Sinche at Amherst Pierpont Securities:
CHINA: Note that Markit will no longer produce/release a preliminary PMI for China. The data will be released on the night of Nov 30 EST about 45 minutes after the official PMI releases.
HONG KONG: The BBerg consensus expects the Headline CPI for October will ...
Posted in Uncategorized | Comments Off on Weekend Preview
Friday, November 20th, 2015
Via Bloomberg:
China's slowdown is already playing out across the world, dragging down commodity prices and weighing on trade partners.
And that's while the economy is still growing at about 7 percent. So imagine what happens in a hard-landing scenario.
The crew at Oxford Economics have done just that in a new report ...
Posted in Uncategorized | 2 Comments »
Friday, November 20th, 2015
One dealer notes that the the 2 year is trading at 91 basis points and the last time it traded there was back on Nov 8. At that time the 5 year note traded at 1.74 versus 1.67 currently. He notes also that it was a very busy week with ...
Posted in Uncategorized | Comments Off on Treasury Market Update
Friday, November 20th, 2015
Via the WSJ:
By
Brian Blackstone And
Todd Buell
Updated Nov. 20, 2015 5:43 a.m. ET
FRANKFURT—The European Central Bank is prepared to deploy its full range of stimulus measures to fight low inflation, ECB President Mario Draghi said on Friday, suggesting that additional easy money policies are a strong possibility at ...
Posted in Uncategorized | Comments Off on Draghi Comments
Friday, November 20th, 2015
Via Marc Chandler at Brown Brothers Harriman:
Draghi Speaks, Dollar Firms
- Draghi escalated his rhetoric regarding future ECB action; recall that in his tenure, Draghi has more often than not surprised on the dovish side
- A collateral development from the widening policy divergence has been a sharp increase in the ...
Posted in Uncategorized | Comments Off on FX
Friday, November 20th, 2015
Dealers report central banks selling 2s and 3s. Real money clients in Japan bought 5s while bank portfolios in Asia sold 5s.
The yield curve continues to flatten. The 5s 10s spread is 56.7 versus 58.4 twenty four hours ago. Similarly , 5s 30s has narrowed to 132.6 from 134.3. The ...
Posted in Uncategorized | Comments Off on Overnight