Archive for May, 2016

Industrial Production

Tuesday, May 17th, 2016

Via Millan Mulraine: US: Industrial Production Rebounds Strongly in April ·         Industrial sector activity rebounded at a very brisk 0.7% m/m pace in April, bettering the market consensus for a more modest 0.3% m/m advance. ·         Stronger utility production and the rise in manufacturing sector activity were the key drivers for the pick-up in ...

GDP Now

Tuesday, May 17th, 2016

Via the Atlanta Fed: Latest forecast: 2.5 percent — May 17, 2016 The GDPNow model forecast for real GDP growth (seasonally adjusted annual rate) in the second quarter of 2016 is 2.5 percent on May 17, down from 2.8 percent on May 13. The second-quarter forecast for real residential investment growth declined ...

Dell Details

Tuesday, May 17th, 2016

These are the details for the massive Dell deal. The various tranches add up to $20 billion and the total book was $85 billion. The Bloomberg note clearly manifests the demand for the various issues. So as an example the launch level on the 3 year was + 250 and ...

Inflation Data

Tuesday, May 17th, 2016

Via TDSecurities: TD SECURITIES DATAFLASH                    US: Inflation Momentum Picks up Some Steam ·         Higher energy prices pushed the headline CPI index up a firm 0.4% m/m, marking the biggest monthly gain in this indicator since February 2013. ·         Core inflation was also firmer on the month, gaining 0.2% m/m, though the annual pace of core ...

Soros Cuts Holdings of US Equities

Tuesday, May 17th, 2016

It looks as though George and I are on the same wave length as I have been seeking safe sanctuary in cash. Via Bloomberg: Soros’s U.S. listed stock holdings drop to $3.5 billion Firm adds $264 million stake in bullion producer Barrick Gold Billionaire George Soros cut his firm’s investments in U.S. ...

Some Corporate Stuff

Tuesday, May 17th, 2016

Via Bloomberg: IG CREDIT: Volume Lower; All Eyes Turn to Dell Deal 2016-05-17 10:13:55.593 GMT By Robert Elson (Bloomberg) -- Secondary IG trading ended with a Trace count of $11.7b vs $12.4b Friday, $14.2b last Monday. * 10-DMA $15.1b; 10-Monday moving avg $13.8b * 144a trading added $1.5b of IG volume vs $1.5b Friday, $1.6b last Monday * The ...

FX

Tuesday, May 17th, 2016

Via Marc Chandler at Brown Brothers Harriman: Dollar Consolidates as Sterling Shines AUD higher as minutes from the recent RBA meeting indicate it was a close decision Brexit polls swing toward "Remain" but soft UK CPI reading took some wind from sterling's sails The US reports April consumer prices, housing ...

IS Market Underpricing a June Rate Hike?

Tuesday, May 17th, 2016

Stephen Stanley of Amherst Pierpont Securities penned this excellent piece yesterday. He discusses recent rhetoric from FOMC participants and the possibility of a June rate hike. Ms Yellen is scheduled to speak on June 6 and he considers that speech a pivotal event. Via Stephen Stanley at Amherst Pierpont Securities: The hawks ...

Credit Pipeline

Tuesday, May 17th, 2016

Via Bloomberg: IG CREDIT PIPELINE: Dell Leads Parade, Others May Join 2016-05-17 09:53:11.646 GMT By Robert Elson (Bloomberg) -- Set to price today: * Dell/EMC (DELL) Baa3/BBB-, to price 8-part 144a/Reg-S deal, via managers Barc/BAML/C/CS/GS/JPM; book said to be over $60b * 3Y FRN, IPT equiv * 3Y, IPT +325 area * 5Y, IPY equiv * 5Y, IPT +375 area * 7Y, ...

Angst About China Credit Bubble

Tuesday, May 17th, 2016

Via Bloomberg: Fink says he is still “bullish” on China in long term BlackRock CEO says China’s leaders have done a “good job” BlackRock Inc.’s Laurence D. Fink, who oversees the world’s largest money manager with $4.7 trillion of client assets, said “we all have to be worried” about China’s mounting ...