Archive for June, 2016
Tuesday, June 7th, 2016
Via L J Kawa at Bloomberg:
In Star Trek, top cadets at Starfleet Academy face a terrible training scenario: Do they abandon a civilian vessel to annihilation in the Neutral Zone or risk war with the Klingons—and their own demise—by embarking upon a rescue mission?
In her quest to save the U.S. economy from ...
Posted in Uncategorized | Comments Off on In Need of a Vulcan Mind Meld
Tuesday, June 7th, 2016
Via WSJ:
By Ian Talley
June 7, 2016 4:01 p.m. ET
WASHINGTON—The global economy is increasingly vulnerable to a sharp slowdown as troubles in emerging markets mount and as advanced economies struggle to grow, the World Bank warned Tuesday.
The bank’s latest projection pegs global growth at 2.4%, down from the 2.9% forecast in ...
Posted in Uncategorized | Comments Off on World Bank Cuts Global Growth Forecast
Tuesday, June 7th, 2016
Via Ian Lyngen at CRT Capital:
We are optimistic about this afternoon’s $24 bn 3-year auction and see the risk of a stop-through in light of the historically strong takedowns of new 3s (despite the Feb/Mar poor performance) and the NFP-inspired Fed rethink. In addition, the WI suggests the 3-year yield ...
Posted in Uncategorized | Comments Off on Three Year Note Auction
Tuesday, June 7th, 2016
Excellent piece on wages via Stephen Stanley at Amherst Pierpont Securities:
The productivity decline in Q1 was shaved, roughly as expected and in line with the modest upward adjustment to GDP for the period. The 0.6% annualized fall in Q1 productivity took the four-quarter gain to 0.7%, still quite close to ...
Posted in Uncategorized | 2 Comments »
Tuesday, June 7th, 2016
Via an anonymous market participant:
5 yr German bonds broke below the -0.40 deposit rate which
makes them ineligble for purchase by the ECB. It is forcing the
ECB further out the yield curve and is taking 10 yr bunds to
record low yields. US Treasurys are getting dragged along.
Posted in Uncategorized | Comments Off on Market Update
Tuesday, June 7th, 2016
Via Bloomberg:
Treasury Client Survey Shows All-Clients Modestly Net Long: JPM
2016-06-07 11:22:24.222 GMT
By Stephen Spratt
(Bloomberg) -- In week ended June 6, all clients survey
shows longs rise, shorts fall, leaving a modest net long, though
stands close to 4-week average.
* Active clients moves to net long; sits 12 percentage points
longer than its 4-week ...
Posted in Uncategorized | Comments Off on JPMorgan Duration Survey
Tuesday, June 7th, 2016
Via Bloomberg:
IG CREDIT PIPELINE: ANZ to Price; More Names Added to List
2016-06-07 09:37:40.698 GMT
By Robert Elson
(Bloomberg) -- Set to price today
* Australia & New Zealand Banking Group (ANZ) Baa1/BBB-, to
sell $bench 144a/Reg-S perp subordinated contingent
convertible securities, via managers ANZ/Citi/DB/GS/MS; IPT
7.25% area
LATEST UPDATES
* Emera (EMACN) Baa3/BBB, to held investor calls June ...
Posted in Uncategorized | Comments Off on Credit Pipeline
Tuesday, June 7th, 2016
Via Bloomberg:
IG CREDIT: Volume, Spreads Improve; Issuance Remains the Focus
2016-06-07 10:03:53.18 GMT
By Robert Elson
(Bloomberg) -- Secondary IG trading ended with a Trace
count of $13.2b vs $12.1b Friday. 10-DMA $14.9b; 10-Monday
moving avg $13.4b.
* 144a trading added $2.4b of IG volume vs $2.3b on Friday
* The most active issues:
* ABIBB 3.65% 2026 ...
Posted in Uncategorized | Comments Off on Some Corporate Bond Stuff
Tuesday, June 7th, 2016
Via Marc Chandler at Brown Brothers Harriman:
Yen Bucks Heavier Dollar Tone
Yellen dropped the guidance used at the end of May, when she said in the "coming months”
The RBA statement was considerably less dovish than the market is expected
Sterling inexplicably shot up almost two cents in a matter ...
Posted in Uncategorized | Comments Off on More FX
Tuesday, June 7th, 2016
Via Kit Juckes at SocGen:
<http://www.sgmarkets.com/r/?id=h10ab4727,173bafbb,173bafbc&p1=136122&p2=3adbd798aad72d81a8d4efa6c94648c5>
The S&P index continues to edge ever closer to last year's all-time high, unperturbed by signs of softness in the economy or indeed, by the downturn in corporate earnings. The Fed's on hold for now and probably until after the Presidential Election and that's all that ...
Posted in Uncategorized | Comments Off on Early FX