Archive for August, 2016
Thursday, August 11th, 2016
Via Bloomberg:
Gilt Yields Follow Japan as 10-Year Spread Shrinks to Record
John Ainger
johnainger
August 11, 2016 — 5:23 AM EDT
Yield premium has plunged since BOE announced more easing
U.K. 10-, 30-year bond yields fell to all-time lows this week
It’s the first week of the Bank of England’s revived bond-purchase plan and U.K. gilts ...
Posted in Uncategorized | Comments Off on Japanification of 10 Year Gilts
Wednesday, August 10th, 2016
Via Randall Forsyth at Barron's :
Amid the never-ending chatter about Federal Reserve interest-rate increases, the money markets have stealthily enacted one on their own.
The London interbank offered rate, or Libor, has risen by roughly a quarter percentage point in recent weeks, and it has nothing to do with Brexit. Coming ...
Posted in Uncategorized | 1 Comment »
Wednesday, August 10th, 2016
Via Bloomberg:
Bonus Cuts for Traders, Dealmakers Said to Ease Slightly
Bonus pools for many Wall Street traders and dealmakers this year may not shrink as severely as expected just a few months ago, according to compensation consultant Johnson Associates Inc.
Incentive pay for fixed-income sales and trading may fall 10 to 15 ...
Posted in Uncategorized | Comments Off on Joy for the Rentier Class and Luxury Car Dealers in Greenwich
Wednesday, August 10th, 2016
Via WSJ:
By Laura Kusisto
Updated Aug. 10, 2016 4:52 p.m. ET
328 COMMENTS
The housing recovery that began in 2012 has lifted the overall market but left behind a broad swath of the middle class, threatening to create a generation of permanent renters and sowing economic anxiety and frustration for millions of Americans.
Home ...
Posted in Uncategorized | Comments Off on A Class of Permanent Renters
Wednesday, August 10th, 2016
Via Robert Sinche at Amherst Pierpont Securities:
Central Bank Rate decisions in New Zealand, Philippines, S. Korea, and Mexico…among others. The BBerg consensus expects a 25bp cut by the RBNZ to a record low 2.0% Official Cash Rate, No Change by the BoK (record low 1.25%), No Change by the BSP ...
Posted in Uncategorized | Comments Off on Overnight Preview
Wednesday, August 10th, 2016
Via Bloomberg:
Commercial Real Estate Bubble Has Begun, New Albion Says
2016-08-10 16:39:35.287 GMT
By Adam Tempkin
(Bloomberg) -- The long-awaited transition of the
commercial real estate (CRE) mkt from “booming” to “bubble”
may be beginning; one indicator is that REITs are recently
picking up the slack in CMBS issuance, but doing so in a
leveraged fashion, New ...
Posted in Uncategorized | Comments Off on Commercial Real Estate Bubble?
Wednesday, August 10th, 2016
Via Ian Lyngen:
We are optimistic about this afternoon’s 10-year auction and expect non-dealer interest to be a significant test of overseas demand for the sector at current yield levels. We see the risks skewed toward a stop-through. Foreign awards at the last four Refundings have increased moderately to 28.3% from ...
Posted in Uncategorized | Comments Off on Ten year Note Auction
Wednesday, August 10th, 2016
Via Bloomberg:
USD 3-Month Libor May Reach 105-110bp by End of 2016, Citi Says
2016-08-10 14:14:18.137 GMT
By Alexandra Harris
(Bloomberg) -- Estimate based on the idea that prime fund
managers maintain “high levels of liquidity” after Oct. 14
reform deadline to guard against a “late surge in outflows”
and market may start pricing in a Fed ...
Posted in Uncategorized | Comments Off on Libor
Wednesday, August 10th, 2016
Via Marc Chandler at Brown Brothers Harriman:
FX Consolidation Resolved in Favor of Weaker US Dollar
If there is an overarching theme, it is that rates will be lower for longer, globally
Beginning with last week's stronger than expected increase in cash wages, Japan's data has been surprising to the upside
...
Posted in Uncategorized | Comments Off on FX
Wednesday, August 10th, 2016
Via Bloomberg:
IG CREDIT: Volume Higher Led by AGN, MSFT, MUFG
2016-08-10 10:01:10.291 GMT
By Robert Elson
(Bloomberg) -- Secondary IG trading ended with a Trace
count of $16.2b vs $12.4b Monday, $17.3b the previous Tuesday.
10-DMA $15.2b; 10-Tuesday moving avg $16.6b.
* 144a trading added $2.1b of IG volume vs $1.5b on Monday,
$2.1b last Tuesday
* The ...
Posted in Uncategorized | Comments Off on Some Corporate Bond Stuff