Archive for June, 2016
Monday, June 27th, 2016
Via Bloomberg:
Morgan Stanley, UBS tell clients to keep money in cash
U.S. junk, investment-grade bonds seen extending declines
Morgan Stanley and UBS Group AG are telling their clients to brace for deeper losses in U.S. credit as a result of the U.K. vote to leave the European Union.
While the "leave" camp’s win ...
Posted in Uncategorized | Comments Off on Looking For Wider Corporate Bond Spreads
Monday, June 27th, 2016
This Bloomberg story cites two market pundits and prognosticators who envision 1 percent 10 year yields and 2 percent 30 year bond yields by year end. To quote the Bard of Forest Hills, Paul Simon, "Who am I to blow against the wind"? Every once in a while in my ...
Posted in Uncategorized | Comments Off on Next Stop on 10 Year Note 1 Percent and a Look at Highest Treasury Coupons Ever
Monday, June 27th, 2016
This one is from my friend and former colleague Steve Liddy. He regularly writes about the markets.
Via Steve Liddy:
The thing I'm watching, for the moment, is the collateral market. With UK banks down 30+%, from their Thursday closes, and other global banks suffering in kind, I remind you of what ...
Posted in Uncategorized | 2 Comments »
Monday, June 27th, 2016
Via Bloomberg:
Katie Linsell
KatieLinsell
June 27, 2016 — 6:25 AM EDT
Cost of insuring corporate debt climbs to four-month highs
No new issuance on Monday amid market uncertainty on way ahead
Corporate-bond risk soared for a second day in Europe as the deepening political crisis sparked by the U.K.’s vote to leave the European Union ...
Posted in Uncategorized | Comments Off on More on Spread Widening
Monday, June 27th, 2016
Via Marc Chandler at Brown Brothers Harriman:
Drivers for the Week Ahead
An issue on the lips of many is whether Brexit has started a movement
If the EU Summit is the most important event in the week ahead, the high-level meeting between Turkey and EU officials is the second ...
Posted in Uncategorized | Comments Off on FX
Monday, June 27th, 2016
Via WSJ:
By Jon Sindreu
June 26, 2016 5:22 p.m. ET
15 COMMENTS
When Britain’s soccer Premier League started its latest season in August of last year, bookmakers said Leicester City, a team from England’s midlands, only had a 0.0002% chance of winning it all. When Leicester lifted the trophy at the end of ...
Posted in Uncategorized | Comments Off on Why Betting Markets Misjudged Brexit Result
Monday, June 27th, 2016
Via Bloomberg:
IG CREDIT PIPELINE: Lots of Possibles If the Tone Is Right
2016-06-27 09:23:37.479 GMT
By Robert Elson
(Bloomberg) --
LATEST UPDATES
* Microsoft (MSFT) Aaa/AAA, added to list of possible issuers,
says Morningstar; also notes PG, DOV as potentials
* Sumitomo Life (SUMILF) A3/BBB+, to hold an investor meeting
July 19, via BofAML; focus to be on ...
Posted in Uncategorized | Comments Off on Credit Pipeline
Monday, June 27th, 2016
Via Bloomberg:
IG CREDIT: Volume Lower, Spreads Jump Wider
2016-06-27 09:31:50.60 GMT
By Robert Elson
(Bloomberg) -- Secondary IG trading ended with a Trace
count of $8.9b Friday vs $11.9b Thursday, $9.7b the previous
Friday. 10-DMA $12.5b; 10-Friday moving avg $11.2b.
* 144a trading added $1.9b of IG volume Friday vs $1.9b on
Thursday, $1.4b last Friday
* Most ...
Posted in Uncategorized | Comments Off on Wider Corporate Bond Spreads
Monday, June 27th, 2016
The Treasury curve has flattened appreciably overnight. Last night around 930PM New York time 5s 10s was 49.4 basis point. That spread had narrowed to 47.3 several minutes ago. Similarly, the 5s 30s spread has narrowed to 130 basis points from 134.8 last night.
Posted in Uncategorized | Comments Off on Treasury Market Musings
Monday, June 27th, 2016
Via Bloomberg:
Sonia Sirletti
ssirletti
June 27, 2016 — 3:02 AM EDT
Updated on June 27, 2016 — 3:46 AM EDT
Government said to consider different measures to help banks
Final amount said under discussion, no final decision taken
Italy is considering injecting capital into some lenders after the U.K.’s vote to leave the European Union sparked ...
Posted in Uncategorized | Comments Off on Italy Considers Bolstering Banks’ Capital