Archive for March, 2016
Friday, March 11th, 2016
Via Bloomberg and hat tip to my friend Steve Liddy:
Professor to Wall Street: You’re Doing Swaps Accounting Wrong
2016-03-11 10:00:00.2 GMT
By Matthew Leising
(Bloomberg) -- The world’s largest banks are incorrectly
accounting for their swaps trades, locking up money that could
otherwise be paid out as dividends to their shareholders,
according to a bold new ...
Posted in Uncategorized | Comments Off on Accounting for Swaps
Friday, March 11th, 2016
Via Bob Elson at Bloomberg:
IG CREDIT: Record High 10-Thursday Moving Average
2016-03-11 10:54:00.293 GMT
By Robert Elson
(Bloomberg) -- Secondary IG trading ended with a Trace
count of $18.7b vs $20.8b Wednesday, $19.4b the previous
Thursday. 10-DMA $18.8b; 10-Thursday moving avg $18.5b, a new
record high back to March 2005 when the series began
* Yesterday’s 10-Wednesday ...
Posted in Uncategorized | Comments Off on Corporate Bonds
Friday, March 11th, 2016
Via Marc Chandler at Brown Brothers Harriman:
Dollar Recovers Against Euro and Yen
The euro and yen are giving back part of yesterday's gain, while sterling and especially the dollar-bloc currencies are firmer
Global equities are finishing the week with strong gains
Oil prices are firmer
UK trade balance improved in January after revisions for ...
Posted in Uncategorized | Comments Off on FX
Thursday, March 10th, 2016
Via Stephen Stanley at Amherst Pierpont Securities:
As the global financial markets continue to sift through the ECB’s actions today, I thought I would offer just a few observations on the ECB’s moves and in particular the implications, at the margin, for the Fed. I am a U.S. economist, so I ...
Posted in Uncategorized | Comments Off on ECB and the FOMC
Wednesday, March 9th, 2016
Via Bloomberg:
(Bloomberg) -- Citigroup Inc. is the latest Wall Street
bank to try to make money off the declining liquidity in the
debt markets by selling a type of derivative increasingly used
to wager on corporate bonds.
The U.S. lender has expanded its offerings of so-called
total-return swaps to cover investment-grade debt over the past
few ...
Posted in Uncategorized | Comments Off on New Toy
Wednesday, March 9th, 2016
Via WSJ:
By MIN ZENG
Updated March 9, 2016 8:00 p.m. ET
2 COMMENTS
Whipsaw trading this week in Japanese government bonds is intensifying concerns that debt markets are vulnerable to a shock if global central banks wrong-foot expectations they will soon expand stimulus.
The yield on the 30-year Japanese government bond surged to 0.72% ...
Posted in Uncategorized | Comments Off on Debt Market Whipsaw
Wednesday, March 9th, 2016
Via Ian Lyngen at CRT Capital:
We are optimistic about this afternoon's 10-year auction and expect non-dealer interest to be significant (average is 75% for this benchmark) and see the risks skewed toward a stop-through. Tuesday's short-squeeze and strong repo demand suggests the auction liquidity will be used to cover positions ...
Posted in Uncategorized | Comments Off on Ten Year Auction Preview
Wednesday, March 9th, 2016
Via the FT:
Citigroup has set the stage for another batch of lacklustre financial results at the world’s biggest investment banks after warning of further declines at some of its most important businesses.
John Gerspach, chief financial officer, forecast that revenues at Citi’s investment banking operation would drop about a quarter in ...
Posted in Uncategorized | Comments Off on Rough Patch at Citibank
Wednesday, March 9th, 2016
Update: I think this NYTimes link does a better job of capturing Martin's influence on the Beatles.
Via Bloomberg:
Produced Elton John's best-selling tribute to Princess Diana
Retired from studio recording in 1998, suffered hearing loss
George Martin, the U.K. music producer, arranger and composer often described as the fifth Beatle for his work ...
Posted in Uncategorized | Comments Off on Aging Baby Boomer Alert:Fifth Beatle Dies
Wednesday, March 9th, 2016
Via Bloomberg:
HAT TO WATCH:
* (All times New York)
* Economic Data
* 7:00am: MBA Mortgage Applications, March 4 (prior -4.8%)
* 10:00am: Wholesale Inventories m/m, Jan., est. -0.2%
(prior -0.1%)
* Wholesale Trade Sales m/m, Jan., est. -0.3% (prior
-0.3%)
* Central Banks
* 10:00am: Bank of Canada overnight rate, est. 0.5% (prior
0.5%)
* 3:00pm: Reserve Bank of New ...
Posted in Uncategorized | Comments Off on What to Watch For Today